Answer:
amortization on discount on BP 400
Explanation:
When there is a difference between the face value and the issuance proceeds from the bond a premium or discount is created.
When the proceeds are above, there will be a premium and the interest expense will be lower thant the actual cash outlay on the bond.
When theface value is above the proceeds, there is a discount.and expenses are higher than cash payment to bondholders.
In this case the expense is higher so there is a discount.
Answer:
a. $1,000 will be recognized as service revenue using the cash basis.
b. $2,400 ($1000 plus $1400) will be recognized as service revenue using the accrual basis.
Explanation:
Given that as of the end of the year, Peaceful Home has collected $ 1,000 from cash-paying customers while Peaceful Home 's remaining customers owe the business $ 1,400.
Revenue to be recognized using;
$1,000 will be recognized as service revenue using the cash basis.
On accrual basis, revenue is recognized when the service has been provided irrespective of whether cash has been collected or not.
A total of $2,400 ($1000 plus $1400) will be recognized as service revenue using the accrual basis.
Answer and Explanation:
a. The preparation of income statement is shown below:-
Income Statement
Service revenue $80,000
operating expenses
Salary expenses $28,000
Uncollectible accounts
expense $3,273
Total operating expense $31,273
Net income $48,727
Working Note :-
Days Amount Percentage Allowance balance
Current $16,800 0.01 $168
0-30 $5,100 0.05 $255
31-60 $4,000 0.10 $400
61-90 $2,000 0.30 $600
Over 90
days $3,700 0.50 $1,850
Total $31,600 $3,273
b. The computation of net realizable value of the accounts receivable is shown below:-
Net realizable value = Accounts receivable - Allowance for doubtful accounts
= ($80,000 - $48,400) - $3,273
= $31,600 - $3,273
= $28,327
The multiplier applies to the investment, net exports and government spending.
<h3>What is a
multiplier?</h3>
This refers to an economic factor that of increased, it can causes an increases in many other related economic variables.
Hence, in economics, its applies to the investment, net exports and government spending.
Therefore, the Option A is correct.
Read more about multiplier
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Based on the price of the stock and the dividend over the years, the time-weighted return of XYZ stock is 16.83%.
<h3>What is the time-weighted return of XYZ stock?</h3><h3 />
In this case, the Time weighted return can will be the same as the IRR so the IRR function on a spreadsheet can be used to find the return.
Year 0 return = -$10 per share
Year 1 = $0.25
Year 2 = $0.27
Year 3 = (0.29 + 15) = $15.29.
Time weighted return will be 16.83% as shown in the attachment.
Find out more on Weighted return at brainly.com/question/15885163.
