Answer:
The correct answer is option (B).
Explanation:
According to the scenario, the given data are as follows:
Par value of bond = $10,000
Coupon rate Annual = 5%
So, Coupon rate semi annual = 2.5%
Inflation rate semi annual = 2%
So, we can calculate the coupon payment for six months by using following formula:
New par value of bonds after inflation = $10,000 + ( $10,000 × 2% ) = $10,200
So, Coupon payment = New par value × Coupon rate semi annual
= $10,200 × 2.5%
= $255
Answer:
Explanation:
The journal entry is shown below:
Cash A/c Dr 15,900
To Notes Receivable A/c $15,000
To Interest Revenue A/c $900
(Being cash is collected with respect of notes receivable and interest revenue)
For recording this transaction, we debited the cash account and credited the notes receivable and interest revenue account
Answer:
4,400 deer
Explanation:
Total fund received = Fixed cost + Variable cost
$54,000 = $10,000 + $10 × Variable cost
$44,000 = $10 × Variable cost
Therefore,
Variable cost = 4,400 deer
Answer:Jalen journal $
Date
Jan 1 ,2021
Land Dr. 860,887
Note payable Cr. 860,887
Narration. Issuance of note of above amount payable in four installment for purchase of land.
June 30,2021
Note payable Dr 215,221.64
Cash Cr. 215,221.64
Narration. Payment of first installment on land purchase.
December 31,2021
Note payableDr 215,221.64
Cash.Cr. 215,221.64
Narration. Payment of second installment on land purchase.
2. Balance on note payable as at December 31, 2021 $400,000
Balance on Interest expenses $30,443.28
Explanation:
The land account is debited to recognized it's purchase and a credit is made to the notes payable account to recognise the credit.
The total installment is debited for payment made in the first and second period.
The balance on the note payable represents the two outstanding principal payment of the $800,000 and the interest expenses represents the excess over the principal sum.
Answer:
c)Qualitative factors that affects outsourcing decision"
1)Quality of services :Whether the company to whom services are outsourced is capable enough or has sufficient experience in providing housekeeping services .A bad quality service can destroy customer /client relations .
2)Long term relations : whether the company to whom services are outsourced is trustworthy and is interested to maintain long term relations .
