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DENIUS [597]
2 years ago
5

Seamark buys $300,000 of Eider's 8% five-year bonds payable at par value. Interest payments are made semiannually. All of the fo

llowing regarding accounting for the securities are true except:A.the debt securities should be recorded at the cost$300000
B.the securities will have a maturity value of $300000
C.the semiannual interest payment amount is $12000
D.the semiannual interest payment amount is $24000
E.interest revenue should be credited when an interest paymen is received
Business
1 answer:
mario62 [17]2 years ago
8 0

Answer:

D.the semiannual interest payment amount is $24000

Explanation:

Debt securities are recorded on the purchase price of the securities which includes purchase price and any brokerage costs etc. Cost recorded and maturity value of this security will be $300,000 because these are issued on par and will mature on par value.The semiannual interest payment will be $12,000 ( $300,000 x ( 8% /2)) rather than $24,000. Interest revenue will also be credited to the interest revenue account. So the only incorrect option is D.the semiannual interest payment amount is $24000.

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The bargaining power of consumers can be the most important force affecting competitive advantage. Consumers gain increasing bar
viva [34]

Answer:

C. If consumers are informed about​ products, prices, and costs across countries

D. If consumers are particularly important to the seller

YES. As having a complete information will allow for arbitrage between areas and if they are a big fish of the seller business the seller will be less likely to roll-over the consumer in negociation.

Explanation:

A. If switching to competing brands or substitutes is expensive

NO. If switching is expenses then, the exit-barrier is higer thus, less bargaining power as we are less likely to leave

E. If consumer demand is rising

NO. Is demand rises then the supplier will have bargain power as it has where to sale the product if we leave

3 0
2 years ago
Suppose you receive at the end of each year for the next three years. a. If the interest rate is ​, what is the present value of
Furkat [3]

Answer:

the question is missing the numbers, so I looked for a similar question:

Suppose you receive $100 at the end of each year for the next three years. a. If the interest rate is 8%, what is the present value of these cash flows? (Answer: $257) b. What is the future value in three years of the present value you computed in (a)? (Answer: $324.61) c. Suppose you deposit the cash flows in a bank account that pays 8% interest per year. What is the balance in the account at the end of each of the next three years (after your deposit is made)? How does the final bank balance compare with your answer in (b)?

a) PV = $100/1.08 + $100/1.08² + $100/1.08³ = $257.71

b) FV = $257.71 x (1 + 8%)³ = $324.64

c) FV = ($100 x 1.08²) + ($100 x 1.08) + $100 = $324.64

it is exactly the same as the answer for (b)

5 0
1 year ago
Bret Rockford bought a home with a 11.5% adjustable rate mortgage for 20 years. He paid $10.67 monthly per thousand on his origi
Anastaziya [24]

Answer:

$746.90

Explanation:

The old monthly payment can be derived from the information given in the scenario:

It says that ''at the end of 1 year he owes the bank $70,000'' and we are also told that ''he paid $10.67 monthly per thousand on his original loan.''      

Logically then, the old monthly payment = $10.67 per $1,000 into $70,000      

Old monthly payment = ($70,000 /  $1,000) x $10.67

which is 70 x $10.67 = $746.90

4 0
2 years ago
Read 2 more answers
Behavioral therapies use applications of ____
valentina_108 [34]
<span>Behavioral therapies use applications of the behavior itself. The behavioral therapy is said to be broad or the umbrella term for various therapies such as psychotherapy, behavioral, or more other therapies. The behavioral therapy is helping another individual with their behavior and characteristics.</span>
3 0
2 years ago
Mickey and Jenny Porter file a joint tax return, and they itemize deductions. The Porters incur $3,350 in investment expenses. T
wolverine [178]

Answer:

Investment interest expense deduction is restricted to the extent of investment income.

Investment interest expense deduction = $4600

Explanation:

7 0
2 years ago
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