Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Ok i guess this is better now. can i get an answer? Quiz 4-spring-summer 2017 [Compatibility Model - Word File Home Insert Design Layout References
Ok i guess this is better now. can i get an answer?
Quiz 4-spring-summer 2017 [Compatibility Model - Word File Home Insert Design Layout References Mailngs Reviews ViewTell me whst you wont to do A Share 1. When a note payable is exchanged for property, goods, or services, the stated interest rate is presumed to be fair a no interest rate is stated b, the stated interest rate is unreasonable c. the stated face amount of the note is materially different Erom the current cash sales price or similar. items or from current fair value of the note any ofthese answers are correct. d. 2The generally accepted method of accounting for gains or losses from the early extinguishment of debtreats any gain or loss as a an adjustment to the cost basis of the asset obtained by the debtissue b. an amount that should be considered a cash adjustment to the cost of any other debt issued over the remaining life of the old debtinstrument an amount received or paid to obtain anew debtinstrument and, as such, should be amortized over the life of the new debt c. d. a difference between the reacquisiton price and the net carrying amount of the debt which should be recognized in the eztinguishment period 3. Under the effectve-interest method ofbond discount or premium amortization, the periodic interest ezpense is equal to a the stated (nominal) rate ofinterest multiplied by the face value of the bonds. b. the marketrate of interest multiplied by the face value of the bonds c. the stated rate multiplied by the beginning-of-period carrying amount ofthebonds d. the marketrate multiplied by the beginning-of period carrying amount of the bonds. 4. When the interest payment dates of a bond are May 1 and November1, and abond issue is sold on June 1, the amount of cash received by the issuer will be decreased by accrued interest from June 1 to November1 decreased by accrued interest from May 1 to June1 c. increased by accrued interest from June to Noember l increased by accrued interest from May 1 to June1 a b. d. 5. If a company chooses the fair value option, a decrease in the fairalue ofthe liability is recorded by crediting Page 1 of 4 1581 words English (United States) ] + 118%Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started