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densk [106]
3 years ago
9

Madrid Company plans to issue 8% bonds with a par value of $4,000,000. The company sells $3,600,000 of the bonds at par on Janua

ry 1. The remaining $400,000 sells at par on July 1. The bonds pay interest semiannually on June 30 and December 31. 1. Record the entry for the first interest payment on June 30. 2. Record the entry for the July 1 cash sale of bonds.
Business
1 answer:
sesenic [268]3 years ago
4 0

Answer:

The first interest payment:

Dr interest  expense   $144,000

Cr cash                                         $144,000

The issuance of the remaining bonds"

Dr cash           $400,000

Cr bonds payable            $400,000

Explanation:

The first  interest paid on the bonds on 30 June is $144,000 ($3,600,000*8%*6/12) which is debited to interest expense account and credited to cash account as outflow of cash from the company.

The cash received from selling the remaining bonds is par value of $400,000 which is debited to cash account and credited to bonds payable account.

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Norbert works in a beauty salon. he receives a 50% employee discount for salon services. in 2016, he used his discount to buy $1
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The answer is D. $600. In general, the employee discount didn't result in taxable income to the recipient. The amount that may be excluded in relation to services purchased by employees, however, is limited to 20% of the amount normally charged to non-employee customers. As a result, Norbert would be able to exclude an employee discount up to 20% x $2,000 or $400 with the remaining $600 included in gross income.
4 0
3 years ago
Sue Gastineau borrowed $17,000 from Regions Bank at a rate of 5.5% to open her lingerie shop. The date of the loan was March 5.
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Sue will pay back $507.20 in interest expense.

Explanation:

The formula for calculating simple interest is:

SI = P x r x t ÷ 100

  • P = Principal
  • r = Rate of Interest
  • t = Term of the loan/deposit in years

In the given problem,

  • Sue Gastineau borrowed $17,000 from Regions Bank so, P = $17000
  • Sue Gastineau borrowed $17,000 from Regions Bank at a rate of 5.5%, so r = 5.5 %
  • Number of days of the loan = March 5 to September 19
  • Sue borrowed $17,000 from Regions Bank for the period of = 198 days, So t = 198 / 365

Simple Interest = (17000 * (5.5/100) * (198/365))

Simple Interest = (17000 * (0.055) * (0.5424657534246575‬))

Simple Interest = (17000 * (0.055) * (0.5424657534246575‬))

Simple Interest = $507.20

5 0
3 years ago
Two employers, A and B, pay the same wage but Employer A faces a more inelastic supply curve of labor than Employer B. Both firm
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Answer:

B.) Employer A will employ more capital than Employer B.

Explanation:

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3 years ago
The organization of 183 countries, all of which have signed treaties to protect intellectual property rights, is known as
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It is known as "World Intellectual Property Organization".

In 1967 the World Intellectual Property Organization was created to encourage and protect intellectual properties. It is also part of United Nation's seventeen specialized agencies. Though it was started with 183 members, overtime the number increased and as of 2016 it had 189 members with headquarters in Switzerland. 
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3 years ago
Which of the following options is a challenge to the sustainability of strategically implementing an information​ system? A. Man
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Answer:

D. Customers and suppliers willing to learn and evolve with new technology

Explanation:

In an implementation of any new IT system, the resistance to adoption from different stakeholders in the organizations is one of the most difficult challenges that is faced by the project managers. To overcome this resistance, the project manager needs to be accustomed to the basic principles of change management which involves:

1 - Designing incentive systems that forces all the stakeholders to adopt the new system.

2- Manage proper communication strategy that conveys the benefits of adopting the new system and conduct training for all the users.

However, there will still be resistance from certain suppliers and customers  to the adoption of the new system. Which can lead to failed implementation of the system. However by doing the following, any organization can make sure that customers and suppliers quickly become an integral part of the IT system:

1- Take feedback from the customers and suppliers so that not only a more user friendly system can be designed, but also customers will be more invested as they feel they have been part of the decision making process.

2- Invite customers and suppliers to use the company resources to make themselves accustomed to the new system.

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3 years ago
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