Answer:
$450,000
Explanation:
Deferred subscription revenue (or unearned subscription revenue) is a liability account since your customers paid you in advance for goods or services that you must provide in the future.
The net unearned revue for 2018 and 2019 is = $390,000 and $460,000 respectively.
Of the 2018 amount, only $115,000 (= $390,000 - $115,000 - $160,000) remain as a liability during 2019 since they expire on 2020.
Of the 2019 amount, $335,000 (= $460,000 - $125,000) remain as a liability during 2019 since they expire on 2020 and 2021.
By December 31, 2019, unearned revenue = $115,000 + $335,000 = $450,000
Answer:
The answer is D. I, II, and III
Explanation:
As an investor buy a puts, he has the right to sell at exercised price stipulated in the put contract, which hedge the investor from the risk that the price in 6-month time will be going below the exercised price ( because he is able to sell the stock at exercised price through put option he holds). So, I is correct.
II. is correct because be writing a calls the investor has the obligation to sell at exercised price, given the market price fall below the exercised price in 6-month time, the call will not be exercise; however, he will be compensate by the premium from writing a call.
III. is correct because a short call will include holding the underlying asset, thus; once the major stock price decline happens, the profit from the strategy will be deducted due to decrease in underlying'asset price. Thus, in this situation, hedging with puts is probably better.
Answer:
Project D
Explanation:
Payback period calculates the amount of time it takes to recover the amount invested in a project.
Pay back period = Cost of project / revenue from project.
For project c, its Pay back period is $30,000 / $5,000 = 6 years
For project d, the Pay back period is $120,000 / $50,000 = 2.4 years
The project with the shorter Pay back period is better
I hope my answer helps you
Answer:
The approximate expected appreciation rate on home equity (EAHE) is 40%
Explanation:
Loan to Value ratio is a term which determine the value of loan as compared to value of house. It is used to issue the loan amount on a property. The amount within the available limit is issued as a loan on the building.
Expected Appreciation rate = Area appreciation / Home Equity ratio
Expected Appreciation rate = Area appreciation / ( 100% - Loan to value ratio)
Expected Appreciation rate = 4% / ( 100% - 90% )
Expected Appreciation rate = 4% / 10%
Expected Appreciation rate = 40%
Answer:
$1,000
Explanation:
Whenever an option is provided to an employee for stock purchase then the cost of such option is the price at which the issue is offered.
Accordingly the actual amount paid to acquire the issue is the cost to acquire such issue.
Thus, the issue granted = 10 stock options
Each option has 10 shares.
Thus, total number of shares offered = 10 10 =100
The strike price for issue = $10 for each share.
Actual cost = Strike Price Number of shares = $10 100 = $1,000.