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Aneli [31]
2 years ago
14

Patrick Rach International issued 5% bonds convertible into shares of the company's common stock. Rach applies U.S. GAAP. Upon i

ssuance, Patrick Rach International should record:-The proceeds of the bond issue as part debt and part equity-The proceeds of the bond issue entirely as debt-The proceeds of the bond issue entirely as equity-The proceeds of the bond issue entirely as debt if the bonds are mandatorily redeemable
Business
1 answer:
Ludmilka [50]2 years ago
6 0

Answer:

The correct answer is letter "B": The proceeds of the bond issue entirely as debt.

Explanation:

Under the U.S. General Accepted Accounting Principles (<em>GAAP</em>) the issuance costs of bonds are ignored for reporting purposes but the amount of sales revenues is recorded as debt. The amortization of the bond can be calculated using the <em>effective interest method</em> or the <em>straight-line method</em>.

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In addition to the new designer, Burberry also stepped up its involvement in social media, relationships with style magazines an
AlekseyPX

Letter D is correct! Increasing customer retention and reducing customer churn.

Relationship marketing is a set of actions that a company uses to strengthen its relationship with the customer, in order to retain and retain them. The addition of Burberry has increased its involvement in social media with the goal of staying closer to its customers and offering benefits such as collaboration with a famous actress. This strategy strengthens the customer-brand relationship by translating the brand's interest in meeting its customer's needs and wants and thus strengthening brand recognition in the marketplace.

7 0
1 year ago
Charles loves watching downton abbey on his local public tv station, but he never sends any money to support the station during
emmasim [6.3K]
Given that <span>Charles loves watching downton abbey on his local public tv station, but he never sends any money to support the station during its fundraising drives.

Economists would call charles a free rider.

The government can solve the problem caused by people like Charles by </span><span><span>privatize channels so viewers have to pay to view them.
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4 0
2 years ago
An investor buys a 5-year, 9% coupon bond for $975, holds it for 1 year, and then sells the bond for $985. What was the investor
Ann [662]

Answer:

hence investor's rate of return is 10.26%

Explanation:

Given data

time = 5 year

rate = 9%

coupon bond = $975

sell bond = $985

at time = 1 year

to find out

investor's rate of return

solution

we will find first here Coupon payment  that is

Coupon payment = 9% of 1000 that is  $90

so that we can say that coupon bond will be

975 = 90 / (1 + r ) + $985 / (1 + r )

solve here r we get r

rate r = 10.26 %

so

hence investor's rate of return is 10.26%

3 0
2 years ago
Which action best reflects the influence of John Maynard Keynes? O A. A business lobbies a government to reduce its overall tax
Sidana [21]

Answer:

Which action best reflects the influence of John Maynard Keynes?

B. A government gives jobs to workers during an economic recession.

Explanation:

John Maynard Keynes was a The British economist who strongly and vehemently advocated for "increased government expenditures, lower taxes, government offering full employment, and government intervention in economic activities" in order to stimulate demand, pull the economy out of recession, and kickstart it from slump.  He is known as the father of Keynesian Economics.

8 0
1 year ago
Which one of the following is an unintended result of the Sarbanes-Oxley Act? Multiple Choice More detailed and accurate financi
Evgesh-ka [11]

Answer:

Increased responsibility for corporate officers

Explanation:

A review of eight thousand public companies, on the study of the impact of the Sarbanes-Oxley Act (SOX) of 2002 revealed that <u>SOX increased directors' workload and risk, and increased demand by mandating that firms have more outside directors. </u>

It was also revealed that both broad-based changes and cross-sectional changes (by firm size) occurred <u>because Board committees meet more often post-SOX</u> and Director and Officer insurance premiums have doubled.

6 0
2 years ago
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