Consumers spend _______ a year on credit card penalties and fees.

Purple Corporation acquired 75 percent of Socks Corporation’s common stock on January 1, 20X8, for $435,000. At that date, Socks

Ivahew [28]

Answer:

20X8 = 162,000

20X9 = $197,000

Explanation:

The calculation of the consolidated comprehensive income for the year 2008 and 2009 is shown below:

Consolidated comprehensive income

Particulars 20X8 20X9

Purple Corporation

Operating Income $120,000 $140,000

Add: Net Income

from Socks Corporation $40,000 $60,000

Less: Amortization of differential

($80,000 ÷ 10 Years) ($8,000) (8,000)

Consolidated net income $152,000 $192,000

Add: Comprehensive income

reported by Socks Corporation $10,000 $5,000

Consolidated

comprehensive income $162,000 $197,000

3 0

2 years ago

Lionel's Lawn Care is a company that maintains residential yards. Lionel's cost for his standard package of mowing, edging, and

Rudiy27

Answer:

Option "B" is the correct answer to the following statement.

$15

Explanation:

Marginal revenue is the extra revenue produced from increasing sales of a single unit of the commodity. Marginal benefit is the income received by a business or entity when the creation and distribution of one extra or marginal product.

Marginal Benefit = New revenue - Old revenue

= ($40) - ($25)

=$15

So,the Marginal Benefit for Lionel's Lawn Care is $15 .

5 0

2 years ago

You buy an eight-year bond that has a 5.50% current yield and a 5.50% coupon (paid annually). In one year, promised yields to ma

Dovator [93]

Answer:

The correct answer is 0.02%.

Explanation:

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

Face Value = $1,000

Coupon rate = 5.5%

Coupon Payment = $1,000 x 5.50% = $55

Yield to Maturity = 6.50%

Time period = 7 years

So, we can calculate the holding period return by using following method:

Holding-period return = [(Coupon Payment + ( Price of bond after one year - Face value)) ÷ Face value] x 100

Where, Price of bond after one year = PV of coupon payment + PV of FV

= $55[PVIFA 6.50%, 7 Years] + $1,000[PVIFA 6.50%, 7 Years]

= [$55 × 5.48452] + [$1,000 × 0.64351]

= $945.15 ( Refer to PVIFA table)

So by putting the value in the formula, we get

= [{$55 + ($945.15 - $1,000)} ÷ $1,000] x 100

= [$0.15 ÷ $1,000] x 100

= 0.02%

5 0

2 years ago

"Swiss Clothing Store had a balance in the Accounts Receivable account of $920,000 at the beginning of the year and a balance of

Fudgin [204]

Answer:

Receivable days are 52 days.

Explanation:

Receivable days can be found from the following formula:

Receivables days = Receivables / Credit Sales * 365

The credit sales here is $6,650,000 during the year and the average receivables days is $950,000 [(950,000 + 980,000)/2] during the year. By putting the values we have:

Receivables days = $950,000 / $6,650,000 * 365 = 52 days

So the average receivable collection days were 52 days during the year.

6 0

2 years ago

Ambrin Corp. expects to receive $2,000 at the end of each year for 10 years. Then the corporation expects to receive $3,500 per

mash [69]

Answer:

The approximate present value = $24294

Explanation:

Given the annuity or expected amount for 10 years = 2000 dollars

The corporation expects the amount for next 10 years = $3500

Discount rate or interest rate = 8%

Present value = (2000 × PVIFA at 8%, 10 YEARS) + (3500 × PVIFA at 8%, 10 YEARS × PVIFat 8%, 10 YEARS)

Present rate = (2000 × 6.710) + (3500 × 6.710 X 0.463)

= $24293.6 or $24294 (round off)

7 0

1 year ago