On january 1, 2019, commercial equipment sales issued $28,000 in bonds for $15,700. these aresix-year bonds with a stated interest rate of 10%, and pay semiannual interest on june 30 anddecember 31. commercial equipment sales uses the straight-line method to amortize the bonddiscount. what amount is debited to interest expense on june 30, 2019? a) $2425 b) $1025 c) $25,067 d) $1400

Partnerships are the most common type of business firms in the world. t/f

Wallis company manufactures only one product and uses a standard cost system. the company uses a predetermined plantwide overhead rate that relies on direct labor-hours as the allocation base. all of the company's manufacturing overhead costs are fixed—it does not incur any variable manufacturing overhead costs. the predetermined overhead rate is based on a cost formula that estimated $2,886,000 of fixed manufacturing overhead for an estimated allocation base of 288,600 direct labor-hours. wallis does not maintain any beginning or ending work in process inventory.

Laws corporation is considering the purchase of a machine costing $16,000. estimated cash savings from using the new machine are $4,120 per year. the machine will have no salvage value at the end of its useful life of six years and the required rate of return for laws corporation is 12%. the machine's internal rate of return is closest to (ignore income taxes) (a) 12% (b) 14% (c) 16% (d) 18%