Quiz – Bison Mfg.
Intermediate Accounting
Spiceland, Nelson, and Thomas
10th Edition
Given two different options for purchasing machinery, they ask you to determine which one they should choose based off of present value.
Given two different options for purchasing machinery, they ask you to determine which one they should choose based off of present value.
Given the amount, maturity, and interest rate of the bonds, they ask you to determine the price paid for the bonds.
They give you information about two financial arrangements that were completed and ask you to determine the amounts that would appear on the balance sheet for bonds and leases.
Given an option for a bonus payment at the date of employment along with getting another payment years later, they ask you to determine the single sum amount that would be the same.
Given the face amount, bond percentage, years to maturity, and interest rate, they ask you to determine how much cash should be realized from the issuance.
They give you a machine’s fair value, useful life, interest rate, and table values for the PV of an ordinary annuity, and ask you to calculate the amount of the lease payment.
Given the cost of equipment, the expected cash flows per year, the amount it can be sold for, and the interest rate, they ask you to determine whether they should purchase the machine or not.
Given the cash savings per year along with the interest rate they ask you to compute the total present value.
Given the number of bonds they plan to retire, they ask you to determine the amount that they need to invest each year.
Given invested amounts and interest rates on three items, they ask you to determine the future value of each.