Cash interest payment is computed annually when a bond is issued for other than its face value. For a bond issued at a discount, how will this component change as the bond approaches maturity?
a. decrease
b. increase
c. remain constant
d. not enough information given to decide
c
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When emailing your résumé to a prospective employer, you should
A) always send it as a Microsoft Word attachment. B) make it less formal than you would for other formats. C) include in the subject line the reference number or job ad number. D) use lots of colors to make your résumé stand out. E) use a subject line that will grab attention, such as "This is the one."
A firm decides to issue stock, pursuant to a stock split, on a 2-for-1 basis. What entry is necessary for this issuance?
a. Retained Earnings Common Stock--Par Value b. Additional Paid-in Capital Common Stock--Par Value c. Retained Earnings Common Stock--Par Value Common Stock--Additional Paid-in Capital d. Common Stock--Par Value Common Stock--Additional Paid-in Capital Retained Earnings e. No journal entry is necessary but the par value of the stock must be restated on a per share basis.
Calle Company is studying the impact of the following: 1. An increase in sales price.2. An increase in the variable cost per unit.3. An increase in the number of units sold (note: each unit produces a $6 contribution margin).4. A decrease in fixed costs.5. A proposed change in the method of compensation for salespeople, away from commissions based on gross sales dollars and toward higher monthly salaries.Required: Determine the impact of each of these operating changes on Calle's per-unit contribution margin and break-even point by completing the chart that follows. Your responses should be Increase (INC), Decrease (DEC), No Effect (NE), or Insufficient Information to Judge (II).?Per-Unit Contribution MarginBreak-Even Point1.??2.??3.??4.??5.??
What will be an ideal response?
Due to an error, the general fund of Pueblo did not record an encumbrance for police equipment that had been ordered but not received on June 30, 20X9, the end of its fiscal year. Pueblo's outstanding encumbrances at year-end are nonlapsing. What was the effect of this error on the balance sheet of Pueblo's general fund?
A. Unassigned fund balance is overstated. B. Liabilities are understated. C. Total fund balance is overstated. D. Assets are overstated.