Answer and Explanation:
The journal entry are as follows
1. Interest expense $214,650
To Cash $214,650
(Being the first interest payment is recorded)
The computation is shown below
= $4,770,000 × 9% × 6 months ÷ 12 months
= $214,650
For recording this we debited the interest expense as it increased the expenses while on the other hand the cash is paid which reduced the cash balance so it is credited
2. Cash $530,000
To Bond payable $530,000
(Being the cash sale of bond is recorded)
For recording this we debited the cash as cash is received that increased the cash balance and at the same time we credited the bond payable
Answer:
Yes, Tangshan Mining company should accept the project.
Explanation:
Payback period is the number of years it takes for a project's expected cash inflows to recover the initial investment amount.
Tangshan company's required payback period = 3.5 years
<u>Year CF Net CF</u>
0 -5,000,000 -5,000,000
1 1,800,000 -3,200,000
2 1,900,000 -1,300,000
3 700,000 -600,000
4 1,800,000 1,200,000
<em>Payback period = last year with -net CF +(absolute net CF that year /total CF the following year)</em>
Payback period = 3 + (600,000 / 1,800,000)
=3 + 0.33
= 3.33 years
Since 3.33 years is lower than the required payback period of 3.5 years, Tangshan Mining company should ACCEPT the new project; it will take less years to fully recover the initial amount investment.
Answer:
d. fewer study guides being sold
Explanation:
If there is an increase in the price of textbooks, it is fair to assume that demand for textbooks will fall and, thus, textbooks sales will also fall. When goods are complements, a decrease in demand for a certain good means that its complements will also experience a similar decrease in demand. Since textbooks and study guides are complements, the sales of study guides will also fall.
Therefore, the answer is d. fewer study guides being sold
Answer:
The first step in the positive feedback loop is the stimulation that sets off the loop in order to complete a process.
<span>Leader style, follower characteristics, work setting </span>Leader style, follower characteristics, and work setting.
In path goal theory, an organization will set its leadership style according to what best fit the employees and the work environment where they operate in order to increase employees' motivation
