KA
Khaled Ashraf
Answers (5)
KA
Answered
Trent Corp.purchased $1,000,000 of bonds at 96 when the market yield was 8%.The bonds pay interest at the rate of 6%.Trent intends to hold these bonds to maturity and will not need to sell the bonds before that date. Which of the following statements is not correct?
A) Since the bonds were purchased at a discount,the cash interest will be less than interest revenue.
B) Since the bonds were purchased at a discount,the book value of the bond investment will increase toward its maturity value.
C) Since the bonds were purchased at a discount,the bond investment will be classified and accounted for as a trading security.
D) The company would recognize a gain or loss on the bonds if they are sold prior to their maturity date.
A) Since the bonds were purchased at a discount,the cash interest will be less than interest revenue.
B) Since the bonds were purchased at a discount,the book value of the bond investment will increase toward its maturity value.
C) Since the bonds were purchased at a discount,the bond investment will be classified and accounted for as a trading security.
D) The company would recognize a gain or loss on the bonds if they are sold prior to their maturity date.
On Jun 12, 2024
C
KA
Answered
Assuming that the company uses the perpetual inventory system, determine the cost of merchandise sold for the sale of May 20 using the FIFO inventory cost method.
A) $120
B) $180
C) $136
D) $144
A) $120
B) $180
C) $136
D) $144
On Jun 12, 2024
C
KA
Answered
What are the risks associated with global franchising?
On Jun 09, 2024
The franchisor has limited control over the market operations in the foreign country, its potential profit is reduced because it must be split with the franchisee, and, once the franchise is established, there is always the threat that the franchisee will break away and operate as a competitor under a different name.
KA
Answered
Preparing the financing activities section of the statement of cash flows requires the analysis of non-current liability and equity accounts, as well as any short-term loans incurred for lending purposes rather than trade.
On May 13, 2024
True
KA
Answered
People may pay attention to the same information, organize it in the same way, and yet interpret in differently.
On May 10, 2024
True