The balance in a bond discount account should be reported on the balance sheet as a deduction from the related bonds payable
Indicate whether the statement is true or false
True
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The Dennis Company reported net income of $50,000 on sales of $300,000. The company has average total assets of $500,000 and average total liabilities of $100,000. What is the company's return on equity ratio?
A. 12.5% B. 50.0% C. 10.0% D. 16.7%
Which if the following is not true about closing entries?
a. Closing entries move the balances of nominal accounts to the retained earnings account. b. Closing entries are an optional step in the accounting cycle. c. Closing entries are made later in the accounting cycle than adjusting entries. d. Closing entries are made before the post-closing trial balance is prepared.
When is it appropriate to use instant messaging in the workplace?
Fairmount Corporation produces and sells a single product. Data concerning that product appear below: Per Unit Percent of SalesSelling price $120 100% Variable costs 36 30% Contribution margin $84 70% Fixed costs are $516,000 per month. The company is currently selling 7,000 units per month.Required:The marketing manager would like to introduce sales commissions as an incentive for the sales staff. The marketing manager has proposed a commission of $9 per unit. In exchange, the sales staff would accept an overall decrease in their salaries of $55,000 per month. The marketing manager predicts that introducing this sales incentive would increase monthly sales by 200 units. What should be the overall effect on the company's monthly operating profit of these
changes? What will be an ideal response?