Answer:
a) 8,000
b) Yes
c) -60%
Explanation:
a) 8,000
b) Yes
c) -60%
) 8,000
a.the trader puts up=20000(1000*50%*40)
he lost $10000(1000*$10)
if he trader pays $2000 in dividend
the remaining margin=20000-10000-2000
$8000
b.) margin rate=equity /liability
8000/50000*100%=
16% , so we have a margin call
c.Equity decreases from 20000 to 8000 in 1 year
return= -12000/20000=-0.60
=-60%
Answer:
loss at extinguishment 8,122.50 dollars
Explanation:
we should compare the amount we pay for the bonds and the book value of the bonds:
book value 978,877.50*
call price <u> (987,000.00) </u>
loss (8,122.50)
*We are given with the value at January 1st we must adjust for the value at july 1st using effective-rate method
970,500 x 11%/2 = 53,377.5 interest expense
1,000,000 x 9%/2 = 45,000 cash outlay
amortization 8,377.5
<em><u /></em>
<em><u>carrying value:</u></em>
970,500 + 8,377.5 = 978,877.5
Answer:
mediation
Explanation:
The Writers Guild of America and the film studios used a mediator when they started their negotiations. The mediator is an impartial third party that is present during the negotiations and tries to help both parties reach an agreement or settlement. The decisions taken by the mediator are not mutually binding so any party can accept or reject them. A mediator only helps to solve the problem, offers possible solutions, but shouldn't decide anything.
In order for the decisions taken by the third to be binding, the third party must be an arbitrator. In an arbitration process all parties involved must accept the decision of the arbitrator.
Answer:
5.01%
Explanation:
The bond nominal yield to call is 5.01%
Answer:
Particulars Amount
Provision for uncollectible $6,080 ($76000*8%)
Less: Provision already made <u>$1,000</u>
Provision to be made <u>$5,080</u>
Date Particulars Debit Credit
31-Dec Bad Debts $5,080
To Allowance for Doubtful Accounts $5,080
(Being the adjusting entry to estimate bad debts)
