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Hunter-Best [27]
2 years ago
12

Art Company issued 6%, 5 year bonds, with par value of $1,600,000, paying semiannual interest for $1,470,226. The annual market

rate of interest on the date of issue was 8%. Assuming effective interest method of amortization, calculate the bond interest expense on the first interest payment date. Select one: A. $117,618 B. $ 58,809 C. $129,774 D. $ 48,000
Business
1 answer:
Soloha48 [4]2 years ago
6 0

Answer:

The correct answer is option (B).

Explanation:

According to the scenario, the given data are as follows:

Bond carrying value = $1,470,226

Rate of interest = 8%

Rate of interest (Semiannual ) = 4%

So, we can calculate the the bond interest expense on the first interest payment by using following formula:

The bond interest expense = Bond carrying value × rate of interest (semiannual)

By putting the value we get

= $1,470,226 × 4%

= $58,809

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YASHARI earns $27,000 per year, is single, and lives in Wyoming. She has $7000 in subsidized loans and another $19,000 in unsubs
Delvig [45]

Answer:

a) 14.43% ,  The amount is reasonable

b) Pay as you go

c) Yashari should should prioritize paying the Loan instalment before saving for the emergency fund

d) Standard repayment plan

Explanation:

Yashari Monthly take-home pay = $1850

<u>a) Determine the % of her paycheck goes toward student loans if she chooses standard repayment</u>

Rate of interest = 4.30%

hence % of her paycheck that goes toward student loan = 14.43%

The repayment amount = $32035. which is very reasonable as well

b) what plan that has the longest repayment period  

PAYE ( pay as you earn ) has the longest repayment period

<u>c)  prioritizing between her emergency fund goal and student loan </u>

Yashari should should prioritize paying the Loan instalment before saving for the emergency fund because of the penalties that comes with loan defaulting

d) Yashari should select the Standard repayment plan because the final amount paid using this plan is lower

4 0
1 year ago
At the start of the case, Cisco’s information systems are failing, yet no one steps forward to lead the effort to replace them.
SpyIntel [72]

Answer:

When Peter Solvik joined Cisco in January 1993 as the company's CIO, Cisco was a $500 million company running a UNIX-based software package to support its core transaction processing, including financial, manufacturing, and order entry systems. At that time, Cisco was experiencing significant growth. However, the application didn't provide the degree of redundancy, reliability, and maintainability that Cisco needed to meet the business requirements anymore. The current systems may be good for $300 million companies, but they were not suitable for a $1 billion dollar company. Solvik let each functional area make its own decision regarding the application and timing of its move, but all functional areas were required to use common architecture and databases. However, in the following years, the functional area were facing dilemma. Anything Cisco did would just run over the legacy systems. It turned into an effort to constantly band-aid the existing systems. So the systems replacement difficulties of functional areas perpetuated the deterioration of Cisco's legacy environment. System outages became routines. Finally, in January of 1994, Cisco's legacy environment failed. As a result, the company was largely shut down for two days.

Why were no managers eager to take on this project?  

Because if Cisco wanted to replace the existing legacy systems, the system in each functional areas had to make change accordingly. Take manufacturing for example, if manufacturing wanted to spend $5 or $6 million dollars to buy a package and by the way it will take a year or more to get it. It was too much to justify. Therefore, none of managers was going to throw out the legacies and do something big. In a word, because implementation a new system would cost a lot of money and take long time to be realized, no one was individually going to go out and buy a package.

Explanation:

7 0
1 year ago
You created a financial model for a pitchbook being presented tomorrow to a potential new client. While reviewing the final vers
sashaice [31]

Explanation:

A pitchbook is confidential document. It is basically a sales document, used by the sales force, which contains main features or attributes of the firm, the potential of the firm and the future aspects of the firm in detail.

So keeping the given question in mind, I would write to my supervisor as follows:

Subject: Assistance Required

Body:

Dear Sir,

By reviewing the whole document finally, which is to be presented to the client tomorrow, I found some mistakes in the results. I came to know that the results are incorrect and are surely needed to be corrected before the presentation.

I recommend you to delay the meeting for 3 hours by the scheduled time, as i need to check and correct the whole figures again and this would take time.

I am looking forwards for your advice.

Best Regards

6 0
1 year ago
One major benefit of using the Bank Feeds feature in QuickBooks Online is that as you _________________ or __________________ tr
Alex73 [517]

Answer:

1.  Exclude

2.  Add

3.  Reconciled

Explanation:

QuickBooks Online supports Bank feeds features, which in turn allows a user to perform ADDITION or EXCLUSION of transactions online, which results in such transaction are marked RECONCILED.

Hence, one of the major benefits of using the Bank Feeds feature in QuickBooks Online is that as you EXCLUDE or ADD transactions in QuickBooks Online from the downloaded transactions from the bank, they are marked RECONCILED. This makes the end-of-period bank reconciliation more efficient.

8 0
2 years ago
Peggy Simmons has a tough assignment. She is to live in Japan for the next five years and successfully introduce her company's l
ryzh [129]

Answer:

Progressive education

Explanation:

Based on the information provided within the question it seems that the company's management wants Peggy to use the Progressive education model. This is a teaching method which focuses on learning from hand-on experience as opposed to traditional pen and paper methods. Therefore the company Management wants Peggy to experience life as a local in order to gain the experience and fast-track her learning.

I hope this answered your question. If you have any more questions feel free to ask away at Brainly.

8 0
2 years ago
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