A $3,000, 7

question 105

Multiple Choice

A $3,000, 7.5% bond is quoted at 97.5. How much cash will be received when the bond is issued?

• A)$2,775
• B)$3,000
• C)$3,225
• D)$2,925

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Definitions:

Ending Inventories

Ending inventories refer to the final amount of goods available for sale or use at the end of an accounting period.

Direct Labor Budget

A financial plan that estimates the cost of direct labor needed to meet production needs within a specific timeframe.

Direct Labor-Hour

A measure of the amount of time workers spend directly working on manufacturing a product or providing a service.

Labor Rate

The cost per hour that a company pays for labor, often used in calculating the total labor cost of a project or production.