What is the total interest income that will be reported

Assignment Help Accounting Basics
Reference no: EM131627649

Accounting Discussion

Alpha company purchased a bond investment on January 1, 2017. The bonds have a par of $10,000, pay interest at a 4% annual rate and have 5 years until maturity. What is the total Interest Income that will be reported over the life of the bond investment if the bonds were purchased at 102 and Alpha uses the straight line amortization method?

Reference no: EM131627649

Questions Cloud

Specific issues women experience in business : What are some of the specific issues women experience in business?
What are important healthcare finance problem : What are important healthcare finance problem or challenge?
Why is it important to conduct a swot analysis : Why is it important to conduct a SWOT analysis? What are the weaknesses of a SWOT analysis?
Describe the type of data collected in the study : Describe the variables used in the research and how they were measured. Describe any assessments that were used.
What is the total interest income that will be reported : What is the total Interest Income that will be reported over the life of the bond investment if the bond were purchased at 102 and Alpha uses the straight line?
Challenges in order to support operational strategies : Focus on resolution of the human resource management challenges in order to support operational strategies.
Context of some of the philosophical thinkers : Evaluate the reasons proposed by Bruner about why we should care about ethics in the context of some of the philosophical thinkers?
Focuses on performance-productivity and rewarding teamwork : Focuses on performance, productivity, and rewarding teamwork.
Analyze the primary advantages of applying direct write-off : Analyze the primary advantages and disadvantages of applying the direct write-off over the allowance method of writing off accounts.

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

Accounting problems,  Draw a detailed timeline incorporating the dividends, calculate    the exact Payback Period  b)   the discounted Payback Period. the IRR,  the NPV, the Profitability Index.

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd