Which of the following statements is true with regard to early retirement of bonds?
a. If the carrying value of the bonds is higher than the redemption price, the issuing firm must record a loss.
b. Firms always find it advantageous to retire bonds issued at lower rates with bonds issued at higher rates.
c. It is always advantageous to carry out early retirement for bonds issued at a premium but not for bonds issued at a discount.
d. Any gain or loss resulting from early retirement of bonds would appear on the income statement of the issuing company.
d
You might also like to view...
Which of the following is legal according to the Robinson-Patman Act of 1936?
A. Reciprocity B. Tie-in sales C. Whistle-blowing D. Quantity discounts E. Exclusive dealerships
The business decisions made by the human resources department include potential customer data, sales report data, commission data, and customer support data.
Answer the following statement true (T) or false (F)
The most common external performance measure used for all organizations is financial in nature
Indicate whether the statement is true or false
If the customer's problem is not solved by any of the products or services the salesperson sells, then it is most appropriate for the salesperson to:
A) recommend another source B) ask more summary questions C) request a second meeting in the future D) repeat the need-satisfaction presentation E) conduct a team-selling presentation to persuade the customer