Answer:
Upon issuance, Ozark should "Credit premium on bonds payable $100,000"
Explanation:
The bond issue price is calculated as ($10 million * $101) = $10,100,000
The bond's face value is = $10,000,000
The bond premium equals $10,100,000 - $10,000,000
Thus, the bond premium is $100,000
Journal entry
Debit Credit
Cash $10,100,000
Premium on bonds payable $100,000
Bonds payable $10,000,000
Conclusion: Therefore, upon issuance, Ozark should "Credit premium on bonds payable $100,000"
Answer:
On the pro side of not indicating the 10% would be that it could be perceived as merely a rumor until the price reduction is formally confirmed. The unethical viewpoint regarding withholding knowledge of an impending 10% drop is that the production manager has kept his boss in the dark about a potential cost-saving opportunity for the company.
IKIBAN INC.
Statement of cash flow using indirect method for the year ending June 30, 2019
Particulars Amount
$
Cash flow from operating activities
Net Income 145,510
Adjustments to reconcile net income to net cash provided by operating activities
Adjustment for non cash effects
Depreciation 81,600
Gain on sale of equipment -4,300
Change in operating assets & liabilities
Increase in accounts receivable -25,500
Decrease in inventory 34,200
Decrease in prepaid expenses 3,300
Decrease in accounts payable -16,500
Decrease in wages payable -11,300
Decrease in income taxes payable -2,700
Net cash flow from operating activities (A) 204,310
Cash Flow from Investing activities
New equipment purchased -80,600
Equipment sold 12,300
Net cash flow from Investing activities (B) -68,300
Cash Flow from Financing activities
Cash dividends paid -162,310
Common stock issued 83,000
Notes payable paid -30,000
Net cash flow from Financing activities (C) -109,310
Net Change in cash = A+B+C $26,700
Beginning cash balance $67,000
Closing cash balance $93,700
<span>Descriptive Statistics is employed in this case (please provide feedback, thanks)</span>
Response:
C. Locate a lender that is prepared to provide FHA loans.
Explanation:
The FHA loan program was established by the U.S. government to make home ownership more accessible for citizens. To qualify, the minimum credit score required is 500, with a down payment of 3.5% for scores of 580 or above, and 10% for scores between 500 and 579. Additionally, mortgage insurance must be acquired, and the proposed property must comply with FHA standards.
However, it is not within his control to find a lender offering FHA loans, as the lender must be sanctioned by the Federal Housing Administration. He can only secure a loan from a financial institution approved by the FHA.
