Answer:
the bond interest expense for the six months ended June 30, 2021, in the amount of $10,8864
Explanation:
The computation of the interest expense is shown below
= Carrying Value of Bond × Effective interest rate
= $217,719 × 10% yield interest × 6 months ÷ 12 months
= $10,886
Hence, the bond interest expense for the six months ended June 30, 2021, in the amount of $10,8864
Therefore the second option is correct
if the parties intend to create a bailment relationship, the Bailee owes a duty of care and a duty to act reasonably in protecting the property.
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Answer:
The principle of exception
Explanation:
Principle of exception is also known as Management by Exception. Management by exception (MBE) is a practice where only significant deviation from a planned target are brought to the attention of management. The idea behind it is that management's attention will be focused only on those areas in need of action and thus sparing the management to concentrate on critical activities free from routine activities. When nothing is brought to the notice of management, it is assumed that everything is moving as per plan.
Principle of Exception thus gives employees the responsibility to take decisions and to fulfil their work or projects by themselves. They are encouraged to take decisions and asked to bring up matter to superiors if an unusual situation or deviation in the recorded data appears, which could cause difficulties for the business and can’t be managed by the employee themselves.
Scott is also following this approach. He has given responsibility of managing the production and control defects within tolerable limits to the employees themselves. They are asked to report abnormal matters to Scott which in this case means defect exceeding 200 million.
Therefore, correct answer would be “The principle of exception “
IN THIS CASE, SCOTT IS USING THE PRINCIPLE OF EXCEPTION
Answer:
e. Insider trading.
Explanation:
Insider trading occurs when information is shared with some stockholders of the company and not with all of them.
According to the United States of America, Securities and Exchange Commission (SEC); Illegal Insider trading involves the "buying or selling of a security, in breach of a fiduciary duty or other relationship of trust and confidence, on the basis of material, non-public information about the security."
In the stock exchange market, any information that possibly could impact an investor's decision substantially to buy or sell the security is known as material information while informations that is not legally available to the public is non-public information.
A potential investor who has access to insider information would definitely have an advantage or unfair edge over other investors, who obviously don't have same privileges, and could potentially make unfair-large profits.
U.S SEC is very much concerned with maintaining a fair marketplace, thus requiring that all transactions be timely submitted electronically.
