Powertap utilities is planning to issue bonds with a face value of 1000000 and a coupon rate of 10%. The bonds mature in 10 years and pay interest semi-annually every June 30 and December 31. All of the bonds were sold on January 1 of this year. Powertap uses the effective-interedt amortization method. Assume an annual market rate of interest of 12%. 1. What was the issue price on January 1 of this year?
2. What amount of interest expense should be recorded on June 30 and December 31 of this year?
3) What amount of cash should be paid to investors June 30 and December 31 of this year?
4) What is the book value of the bonds on June 30 and December 31 of this year?

Amanda works as an industrial designer

University hero is considering expanding operations beyond its healthy sandwiches. jim axelrod, vice president of marketing, would like to add a line of smoothies with a similar health emphasis. each smoothie would include two free health supplements such as vitamins, antioxidants, and protein. jim believes smoothie sales should fill the slow mid-afternoon period. adding the line of smoothies would require purchasing additional freezer space, machinery, and equipment. jim provides the following projections of net sales, net income, and average total assets in support of his proposal. sandwichesonly sandwiches and smoothies net sales $ 750,000 $ 1,350,000 net income 120,000 210,000 average total assets 350,000 750,000 return on assetschoose numerator ÷ choose denominator = return on assets÷ = return on assets÷ = profit margin÷ = profit margin÷ = asset turnover÷ = asset turnover÷ = times

Experienced problem solvers always consider both the value and units of their answer to a problem. why?