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harina [27]
2 years ago
5

The amounts indicated pertain to Royal Fairmont’s trading debt investments, which were purchased on 1/1/21: Cost: $16,000 12/31/

21 Fair Value: $15,000 12/31/22 Fair Value: $11,000 The amount included in 2022 Comprehensive Income will be:
Business
1 answer:
quester [9]2 years ago
6 0

Answer:

loss of $5,000 on adjustment of trading debt investments

Explanation:

The comprehensive income statement records gains and losses on the trading debt investments.

By the end of 2022 the trading debt investments had fallen in value to $11,000 from  $15,000 representing a loss of $5,000 to be adjusted in the income statement.

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Your income is $75,000 per year. You cannot set up a ROTH IRA if you earn more than $95,000 per year. If your salary increases b
Alja [10]

Answer:

only one more year

Explanation:

Your income for the current year (year₀) = $75,000

Next year's income (year₁) = $75,000 x 1.2 = $90,000

Year 3's income (year₂)= $90,000 x 1.2 = $108,000

You will only be able to contribute to a ROTH account during the next year (year₁), since your income for year₂ will be higher than $95,000.

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2 years ago
Hamby Corporation is preparing a bid for a special order that would require 780 liters of material W34C. The company already has
vovangra [49]

Answer:

$6,513

Explanation:

The computation of the relevant cost is shown below:

= Number of liters of the raw material × purchase of raw material per liter

= 780 liters × $8.35 per liter

= $6,513

Simply we multiplied the Number of liters of the raw material with the purchase of raw material per liter so that accurate amount can come

Any other information given is not important. Therefore, it was ignored

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2 years ago
Bethany works for an international accounting firm noted for its superior quality of work. Employees check and double-check thei
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The culture of this firm emphasises <u>Attention to Detail</u>

<u>Explanation:</u>

Attention to detail is a significant resume ability to incorporate. The capacity to control little bits of information with precision and centre is a pivotal expertise in a wide scope of employment fields.

You have that aptitude, so you gladly express extraordinary scrupulousness as one of the advantages on your resume.

Achieves careful quality and exactness when achieving an assignment through worry for every one of the territories in question. Conduct Indicators - Provides precise, reliable numbers on all desk work.

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Starbucks carefully crafts its offerings and advertising message, and it strategically sets prices and selects locations to appe
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2 years ago
The Two Dollar Store has a cost of equity of 11.9 percent, the YTM on the company's bonds is 6.2 percent, and the tax rate is 40
Bezzdna [24]

Answer: 9.03%.

Explanation:

Given: The Two Dollar Store has a cost of equity of 11.9 percent, the YTM on the company's bonds is 6.2 percent, and the tax rate is 40 percent.

Debt to equity ratio is .54

i.e. \dfrac{debt}{equity}=\dfrac{0.54}{1}\ ...(i)

Adding denominator to numerator on both the sides, we get,

\dfrac{debt+equity}{equity}=\dfrac{1.54}{1}\\\\\Rightarrow\ \dfrac{equity}{debt+equity}=\dfrac{1}{1.54}  

i.e. Weighted equity = \dfrac{1}{1.54}\ ....(ii)

From (i)

\dfrac{equity}{debt}=\dfrac1{0.54}\

Adding denominator to numerator on both the sides we get,

\dfrac{equity+debt}{debt}=\dfrac{1+0.54}{0.54}

\dfrac{equity+debt}{debt}=\dfrac{1.54}{0.54}

Thus, weight of debt=\dfrac{1.54}{0.54}

Now,

Weighted average cost of capital=(Weight of equity) × (cost of equity)+(Weight of debt)×(Cost of debt)×(1-tax rate)

\dfrac{1}{1.54}\times (0.119)+\dfrac{0.54}{1.54}\times(0.062)\times(1-0.40)\\\\=0.07727+0.02174(0.60)\\\\=0.07727+0.02174(0.60)\\\\=0.07727+0.013044\\\\=0.090314\approx9.03\%

Hence, the weighted average cost of capital is 9.03%.

4 0
2 years ago
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