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2 years ago

A company purchased a 12 month insurance policy on October 1 for $1,200. On the December 31 annual financial statements, ______.

Business

1 answer:

Naily [24]2 years ago

7 0

Answer:

$300 is reported as a expense

Explanation:

and $900 is reported as an asset hope this helps you :) god loves you :)

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On January 15, 2020, Dolan Corp. adopted a plan to accumulate funds for environmental improvements beginning July 1, 2024, at an

Andreyy89

Answer:

Annual deposit (PMT) = $1,567,060.39

Explanation:

Given:

Future value of annuity due = $8,000,000

Rate of interest(r) = 10% = 0.1

Number of year (n) = 4 year

Annual deposit (PMT) = ?

Computation of annual deposit :

$Future\ value\ of\ annuity\ due = PMT [\frac{(1+r)^n-1}{r} ](1+r)\\\\8,000,000 = PMT [\frac{(1+0.1)^4-1}{0.1} ](1+0.1)\\\\8,000,000 = PMT [\frac{(1.1)^4-1}{0.1} ](1.1)\\\\8,000,000 = PMT [\frac{(0.4641}{0.1} ](1.1)\\\\8,000,000 = PMT [5.1051]\\PMT = 1,567,060.39$

Annual deposit (PMT) = $1,567,060.39

6 0

2 years ago

Barnett Industries, Inc., issued $600,000 of 8% bonds on January 1, 2019. The bonds pay interest semiannually on July 1 and Janu

Vera_Pavlovna [14]

Answer:

1. The selling price of the bonds is $590.976.46

2 .The journal entry for the issuance of the bonds and bond issue costs would be as follows:

Debit Credit

Cash $538,976.26

Discount on bonds payable $39,023.74

Unamortized bonds issue costs $22,000

Bonds Payable $600,000

3. Assuming that Barnett uses IFRS, the journal entry for the issuance of the bonds would be as follows:

Debit Credit

Cash $600,000

Bonds Payable $600,000

Explanation:

In order to calculate the selling price of the bonds we would have to calculate first the present value of particular and present value of interest, hence:

present value of particular=($600,000×0.414643)=$248,785.80

present value of interest=$600,000×4%13.007936=$312,190.46

Therefore, selling price of the bonds=present value of particular+present value of interest

1. Selling price of the bonds=$248,785.80+$312,190.46=$590.976.46

2. The journal entry for the issuance of the bonds and bond issue costs would be as follows:

Debit Credit

Cash $538,976.26

Discount on bonds payable $39,023.74

Unamortized bonds issue costs $22,000

Bonds Payable $600,000

3. Assuming that Barnett uses IFRS, the journal entry for the issuance of the bonds would be as follows:

Debit Credit

Cash $600,000

Bonds Payable $600,000

4 0

2 years ago

David estimates that he will have expenses totaling $24,870 for one year of college. He will receive $7,560 in grants. How much

nadya68 [22]

The answer to this question is b.) 8,655.

4 0

2 years ago

From each paycheck of your afterschool job, you’re able to save $45 toward the coat. You get paid twice a month. How many months

RoseWind [281]

Answer:4

Explanation:The total in 4 months would equal 360

6 0

2 years ago

Matrice has been working as a creative head at Ace Designs for 10 years. Her growth at Ace has made her one of the industry's fi

olga_2 [115]

Answer: continuance commitment

Explanation:

The above scenario explains a continuance commitment. This occurs when a worker remains with a particular organization after he or she looks at both the benefits and costs of leaving and sees that the cost of leaving the organization outweighs the benefits.

In this case, even though Matrice has had several recruiters offering interviews for possible positions at different companies, he believes that he should stay as a result of the medical insurance benefits that he gets. This is thus referred to as continuance commitment.

5 0

2 years ago