U.S. Savings Bonds are sold at a discount. The face value of the bond represents its value on its
future maturity date. Therefore,
A) the current price of a $50 face value bond that matures in 10 years will be greater than the
current price of a $50 face value bond that matures in 5 years.
B) the current price of a $50 face value bond that matures in 10 years will be less than the current
price of a $50 face value bond that matures in 5 years.
C) the current price of a $50 face value bond will be higher if interest rates increase.
D) the current prices of all $50 face value bonds will be the same, regardless of their maturity
dates because they will all be worth $50 in the future.
B
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Indicate whether the statement is true or false
Commissions and salaries expenses are paid 50% in the month to which they are incurred and the balance in the next month. Rent and miscellaneous expenses are paid as and when they occur. Insurance is prepaid at the beginning of the quarter. Calculate cash payments for the selling and administrative expenses for the first quarter of the next year.
The following details have been extracted from the budget of a merchandising company.
A) $21,100
B) $49,200
C) $70,300
D) $26,200
Camp Corporation purchased 8,500 shares of Tent Corporation common stock for $80 per share on January 1, 2014. Tent reported net income of $220,000 for 2014 and paid dividends of $90,000 during 2014. As of December 31, 2014, the market value of Tent Corporation common stock was $80 per share. Assuming the shares owned by Camp represent 30 percent of the total outstanding stock of Tent, Camp
Corporation should report the long-term investment on December 31, 2014, at a carrying value of A) $641,000. B) $680,000. C) $719,000. D) $810,000.
How does the text define philanthropy?
a. any voluntary action that assists a nonprofit organization or people in need b. the donation of time to assist a nonprofit organization or people in need c. the donation of money or property to assist a nonprofit organization or people in need d. the possession of goodwill toward those in a more disadvantaged position