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iren2701 [21]
3 years ago
9

A ten-year $2,000,000 bond is issued on January 1, 20xx with a 5% stated interest rated. Interest is paid semiannually on June 3

0 and December 31st. What is the amount that would be recorded as interest expense on June 30, 20xx (the first interest payment), assuming that no interest expense has been recorded since the bond was issued on January 1st
Business
1 answer:
ExtremeBDS [4]3 years ago
7 0

Answer:

the amount of interest expense as on June 30 is $50,000

Explanation:

The computation of the amount of interest expense as on June 30 is shown below

= Bond amount × rate of interest × number of months ÷ total number of months

= $2,000,000 × 5 months × 6 months ÷ 12 months

= $50,000

hence, the amount of interest expense as on June 30 is $50,000

We simply applied the above formula so that the correct value could come

And, the same is to be considered

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I think it’s D or C but I’m not sure
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4 years ago
The Canton Corporation shows the following income statement. The firm uses FIFO inventory accounting. CANTON CORPORATION Income
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Answer:

Aftertax income     47,278.7

Explanation:

Sales 14,600 units at $14.30 (10%Δ)       208,780

Cost of goods sold (unchanged)        <u>   (116,800)   </u>

      Gross profit                                         91,980

S&A expenses; 5% of sales

208,780 x 5% =                                          (10,439)

Depreciation  (unchanged)                    <u>   (14,000)  </u>

Operating profit                                           67,541  

Taxes (30% of operating profit)             <u>    20,262.3  </u>

Aftertax income                                          47,278.7‬

8 0
3 years ago
Concord Corporation has gathered the following information concerning one model of shoe: Variable manufacturing costs $30000 Var
avanturin [10]

Answer:

Option (c) is correct.

Explanation:

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Fixed manufacturing costs = $160000

Fixed selling and administrative costs = $120000

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Planned production and sales = 5000 pairs

ROI = Investment Value × ROI Rate

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       = $850,000

Desired ROI per Pair of Shoes :-

= ROI ÷ Planned production and sales

= $850,000 ÷ 5000  pairs

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3 0
3 years ago
At the heart of any marketing program is the firm's ________, its tangible offering to the market A. value B. strategy C. produc
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The marketing programs plays an important in the business as it helps in establishing the good relationship with the customers where the products are offered in the market.

Therefore, the firm product is known as the heart of the marketing program that are tangible offer in the market.        

6 0
3 years ago
Wanda is in charge of acquisitions for her company. Realizing that water is important to company operations, Wanda buys a plant
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Answer:

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8 0
3 years ago
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