Answer:
Monthly deposit= $164.24
Explanation:
Giving the following information:
Future value= $1,000,000
Interest rate= 0.118/12= 0.00983
Number of periods= 35*12= 420 months
<u>To calculate the monthly deposit, we need to use the following formula:</u>
FV= {A*[(1+i)^n-1]}/i
A= monthly deposit
Isolating A:
A= (FV*i)/{[(1+i)^n]-1}
A= (1,000,000*0.00983) / [(1.00983^420) - 1]
A= $164.24
Answer: Monopolistic competition
Explanation:
This is a market in which large numbers of producer sells differentiated products in terms of quality or branding. The ability to differentiate the products makes it possible for the different firms to practice price discrimenation which is further strengthen through advertising of the product, the price differences may force a firm out of the market if the demand for it's products falls significantly.
Answer:
c. Debit: Discount on notes payable, $41,884.
Explanation:
The journal entry is shown below:
Equipment $883,116
Discount on Notes payable $41,884 ($740,000 - $698,116)
To Notes payable $740,000
To Cash $185,000
(Being the amount paid in cash and note payable is recorded)
Working note
= Note payable amount × PVF factor at 6% for one year
= $740,000 × 0.94340
= $698,116
For recording this we debited the equipment as it increased the assets and discount is always debited while the note payable and cash is credited as it increased the liabilities and reduced the assets
Answer:
D.the semiannual interest payment amount is $24000
Explanation:
Debt securities are recorded on the purchase price of the securities which includes purchase price and any brokerage costs etc. Cost recorded and maturity value of this security will be $300,000 because these are issued on par and will mature on par value.The semiannual interest payment will be $12,000 ( $300,000 x ( 8% /2)) rather than $24,000. Interest revenue will also be credited to the interest revenue account. So the only incorrect option is D.the semiannual interest payment amount is $24000.
