Answer:
The check is written and signed by a payer
Explanation:
Checks are written by payers before any disbursement could be made, this must be strictly followed to enable smooth transaction and make such checks tenable in any bank.
Answer:
The correct option is C,$500
Explanation:
The amount of interest accrual is the interest on the sum borrowed from October 1 2016 to 31 December 2016,that is 3 months of interest,which is computed below:
Accrued interest =principal*stated interest rate*number of accrued months/12
principal is $25,000
stated interest is 8%
number of accrued months is 3
accrued interest =$25,000*8%*3/12=$500
The accrued interest is to be debited interest expense because it is an increase in expense and credited to interest payable as a liability
Answer:
Analyze the risk
Explanation:
Risk management project risk has the following steps to minimize the risks -
a) Identifying the risks;
b) Analyzing the risks;
c) Evaluating the risks;
d) Treating the risks;
e) Monitoring and reviewing the risks.
Therefore, after identifying the risks, project managers analyze the risk to reduce the risks of the project. Analyzing the risks include recognizing the nature of the risk and difficulties faced by the risk to perform the project.
Answer:
a. 6.56%
b. 10.62%
Explanation:
Debt-equity ratio=debt/equity
Hence debt=1.2 equity
Let equity be $x
Debt=$1.2x
Total=$2.2x
WACC=Respective costs*Respective weight
a.
8.7=(x/2.2x*13)+(1.2x/2.2x*Cost of debt)
8.7=5.909+(1.2/2.2*Cost of debt)
Cost of debt=(8.7-5.909)*(2.2/1.2)
=5.1167%(Approx)
Hence pretax cost of debt=Cost of debt/(1-tax rate)
=5.1167/(1-0.22)=6.56%(Approx).
b.
8.7=(x/2.2x*Cost of equity)+(1.2x/2.2x*7.1)
8.7=(1/2.2*Cost of equity)+3.8727
Cost of equity=(8.7-3.8727)*2.2
=10.62%
Answer:
The answer is b. false
Explanation:
Call X as the adjusted gross income before taxation. The corporate income tax is <em>0.05 * X</em>. Given that the <em>incremental</em> federal tax rate is 34% after the state corporate income tax and because the state corporate income tax is <em>deductible</em> from the federal taxes, the incremental federal tax is <em>0.34 * (X - 0.05 * X)</em>. Therefore: <em>0.34 * (X - 0.05 * X)</em> = <em>0.34 * 0.95 * X</em> = <em>0.323 * X</em>. The combined effective tax rate should be 32.3%.
