Answer and Explanation:
According to the scenario, computation of the given data are as follow:-
A).Present Value of the Cash Flow for the Lump Sum Payout
= Prize of Lottery Amount × (1 -Tax Rate)
= $506,300 × (1 - 0.46)
= $506,300 × 0.54
= $273,402
B).Present Value of the Cash Flows for Annuity Payout is
= Annuity Payment × (1 - Tax Rate) × PVIFA 8%,20 Years × (1 + Rate of Return)
= $37,000 × (1 - 0.26) × 9.8181 × (1 + .08)
= $37,000 × 0.74 × 9.8181 × 1.08
= $290,325
c). According to the analysis, $290,325 is more than the $273,402, So he should be chooses option (b) $290,325 as a payout option.
Answer:
(A). A Debit to Notes Payable for $960
Explanation:
In case of a promissory note, there are three parties to it, namely,
- Maker i.e Jones here
- Payee, to whom money is to be paid i.e the bank here
- Holder i.e the one who currently holds the promissory note i.e the bank here
Upon issue of promissory note, in the books of the maker (Jones), the entry is,
Name Of The Bank A/C Dr. $960
To Notes Payable A/C 960
(Being a promissory note issued to bank against a payment of $960)
Upon maturity i.e date of payment, the entry would be,
Notes Payable A/C Dr. $960
To Cash/Bank A/C 960
(Being payment of promissory note honored)
Thus, the correct answer would be, (A) a debit to notes payable account for $960.
Answer:
Marketing Specialist
Explanation:
Marketing is in all the activities undertaken by a business to entice customers to but its products. It will include all promotional initiatives that aim at increasing the sales volume of a company. These activities range from advertising, promotions, publicity, and direct selling.
Rodney has graduated in marketing; meaning has acquired skills and competencies required in the marketing discipline. He will be more effective as a marketer as he has adequate knowledge of marketing. Rodney will be more fulfilled and better motivated in marketing because that is his area of strength.
Answer:
A. cost-plus regulation
Explanation:
When a local regulator calculates the average cost of production for the public water utility or any other service and allow an adjustment for the normal rate of profit the firm should expect to earn, and then set the price that consumers can be charged accordingly, this is known as cost-plus regulation.
It is usually carried out by the government.
