On the first day of the fiscal year, a company issues a $8,400,000, 12%, 10-year bond that pays semiannual interest of $504,000 ($8,400,000 × 12% × ½), receiving cash of $7,115,493. Journalize the first interest payment and the amortization of the related bond discount. Round to the nearest dollar. If an amount box does not require an entry, leave it blank.

Curtis and Kathy filed a joint return for Year One on April 15, Year Two. The return claimed bogus deductions related to Curtis’s cattle-raising business. After their divorce in Year Three, the Internal Revenue Service discovered the bogus deductions and issued a notice of deficiency to both Curtis and Kathy.

While they were married, Kathy often visited Curtis’s farmland and on occasion helped out with some chores related to the business. Kathy collected all of Curtis’s receipts and sent them to their accountant to prepare their tax returns. Kathy saw that the receipts for Year One were unusually large, but she did not question Curtis with respect to any of the receipts. Kathy had no other involvement in Curtis’s business.

If Kathy files a request for innocent spouse relief under § 6015, how should the Service respond?

The following transactions apply to Jova Company for Year 1, the first year of operation:

1. Issued $15,500 of common stock for cash.
2. Recognized $64,500 of service revenue earned on account.
3. Collected $57,600 from accounts receivable.
4. Paid operating expenses of $36,000.
5. Adjusted accounts to recognize uncollectible accounts expense. Jova uses the allowance method of accounting for uncollectible accounts and estimates that uncollectible accounts expense will be 2 percent of sales on account.

The following transactions apply to Jova for Year 2:

1. Recognized $72,000 of service revenue on account.
2. Collected $65,600 from accounts receivable.
3. Determined that $890 of the accounts receivable were uncollectible and wrote them off.
4. Collected $300 of an account that had previously been written off.
5. Paid $48,400 cash for operating expenses.
6. Adjusted the accounts to recognize uncollectible accounts expense for Year 2. Jova estimates uncollectible accounts expense will be 1 percent of sales on account.

Required
Complete the following requirements for Year 1 and Year 2. Complete all requirements for Year 1 prior to beginning the requirements for Year 2.

c. Organize the transaction data in accounts under an accounting equation for each year.

What is the difference in PVs between a 6-year annuity due of $1000 and a 5-year annuity due of $1000 if r=6%? solve using finance

A) A worker named Hastings lives for two periods (year 0 and year 1) and has to choose his optimal level of education. He has two choices. He can choose to go to school during year 0, in which case he has no earnings during that period; however, in year 1 he earns $220. Alternatively, he can choose not to go to school, in which case he earns $110 in both periods.

Part1. What is Hastings’ present discounted value (PDV) of lifetime earnings if he chooses not to go to school? Assume a discount rate of 10%.

Part2. What is Hastings’ present discounted value of lifetime earnings if he chooses to go to school in year 0? Assume a discount rate of 10%.

Part3. Given your answers to (1) and (2), should Hastings choose to go to school or not? Why?

Part4. Hastings’ sister Patience also lives 2 periods and if she decides not to go to school she also makes $110 in each period. However, if she decides to go to school, she can work part time and earn $50 in year 0 and then earn $220 in year 1. Patience has a discount rate of 0%. Should Patience attend school or not? Show your work

Colsen Communications is trying to estimate the first-year cash flow (at Year 1) for a proposed project. The assets required for the project were fully depreciated at the time of purchase. The financial staff has collected the following information on the project:

The company has a 25% tax rate, and its WACC is 13%.

Write out your answers completely. For example, 13 million should be entered as 13,000,000.

1. What is the project's operating cash flow for the first year (t = 1)? Round your answer to the nearest dollar.
   $   
2. 
   
3. If this project would cannibalize other projects by $1 million of cash flow before taxes per year, how would this change your answer to part a? Round your answer to the nearest dollar.
   The firm's OCF would now be $   .

Derek will deposit $2,703.00 per year into an account starting today and ending in year 10.00. The account that earns 5.00%. How much will be in the account 10.0 years from today?

the answer is 38,400.95 but i dont know how to solve it, im still confuse on this, can you please help me

Sketch the main environmental controversies in Puerto Rico since the year 1965 to the year 2008.

Suppose an individual has a job that pays $50,000/year. With a 5% probability, next year their wage will be reduced to $20,000/year.

a. What is their expected next year?

b. Suppose that the individual can insure themselves against the risk of reduced consumption next year. What would be the actuarially fair insurance premium?

Mary, age 27, annually invests $1,000 in an IRA starting this year through the year of her 35th birthday, and then never makes another contribution. Sara, age 36, annually invests $1,000 in an IRA through the year of her 65th birthday. If both Mary and Sara can earn 8% on their investments, who will have more in her IRA account when she retires at the end of her 65th year AND approximately how much more will she have in her account?

Please show the calculator steps please