Spirits of northern vale guide Me

Caterpillar's attention was focused elsewhere when komatsu made its first entry into the eastern europe and gained grounds. this

Paul [167]

This is an example of LOOSE BRICKS.
Loose bricks refers to an ignored market segment that a competitor exploited in order to make its initial landing in a foreign market. In this kind of situation, the competitor usually gained ground for itself before the native businesses realizes what is happening.

4 0

4 years ago

The primary focus for financial accounting information is to provide information useful for: Investing decisions Credit decision

matrenka [14]

Answer:

The correct answer is letter "A": Investing decisions (Yes); Credit decisions (Yes).

Explanation:

Financial Accounting refers to gathering, recording, summarizing and reporting financial data related to a company. The ultimate objective is to accurately report the financial picture and results of a company at a certain point in time and over a certain point in time.

The information gathered is helpful for investors so they can make decisions over what course the firm should follow moreover when a company might need credit to finance its operations.

6 0

4 years ago

At December 31 of the current year, Cart Company has a $16,000 Notes Receivable from a customer. Interest of 5% has accrued for

lyudmila [28]

Answer: $23,200 as total current asset for the period

Explanation:

Note Receivable has a value $16,000

Interest on Note = 5%

Accrued for 9 months

Yearly Interest accrued = 16,000*5%*12= 9,600

Interest for 9 months = 9600/12*9 = 7,200

Balance sheet Extract

Other Income

Int Accrued on Note Receivable $7,200

Current Asset

Note Receivable $16,000

Int Accrued on Note Receivable $7,200

Total Current Asset $23,200

6 0

4 years ago

All of the following situations contribute to the need for a company to recognize deferred revenues, except for:

blondinia [14]

Answer: C) mutually unexecuted contracts between buyers and sellers.

Explanation:

Mutually Unexecuted contracts refer to a situation where both parties being the buyer and the seller have not executed their parts of the bargain or rather fulfilled their parts of the contract.

In such a case, even though legally, there is an obligation to perform due to the signing of a contract, Accounting wise, there is no need to record a liability.

This is why Mutually Unexecuted contracts do not contribute to the need to recognize deferred revenue.

7 0

4 years ago

A company issued 5%, 20-year bonds with a face amount of $60 million. The market yield for bonds of similar risk and maturity is

Lesechka [4]

Answer:

Total $53.0656 (millions)

Explanation:

We will need to add the present value of the coupon payment

and the present value of the maturity date

present value of the annuity:

$C \times \frac{1-(1+r)^{-time} }{rate} = PV\\$

C= 60 million x 5% /2 1.5

time= 20 years 2 payment per year = 40

rate = 6% annual = 0.06/2 = 0.03 semiannually

$1.5 \times \frac{1-(1+0.03)^{-40} }{0.03} = PV\\$

PV $34.6722

present value of the bonds:

$\frac{Maturity}{(1 + rate)^{time} } = PV$

Maturity 60

time 40

rate 0.03

$\frac{60}{(1 + 0.03)^{40} } = PV$

PV $18.3934

The value of the bond will be the sum of both

PV c $34.6722

PV m $18.3934

Total $53.0656

7 0

3 years ago