Use the Following Information to Answer the Question(s)below

question 36

Multiple Choice

Use the following information to answer the question(s) below.
Pascalian Company owns a 90% interest in Sapp Company.On January 1,2010,Pascalian had $300,000,6% bonds outstanding with an unamortized premium of $9,000.The bonds mature on December 31,2014.Sapp acquired one-third of Pascalian's bonds in the open market for $97,000 on January 1,2010.Both companies use straight-line amortization of bond discounts/premiums.Interest is paid on December 31.On December 31,2010,the books of the two affiliates held the following balances:

-Consolidated Interest Expense and consolidated Interest Income,respectively,that appeared on the consolidated income statement for the year ended December 31,2010 was

• A)$10,800 and $0.
• B)$10,800 and $6,600.
• C)$0 and $0.
• D)$16,200 and $6,600.

Comprehend the impact of socioeconomic factors on social mobility and inequality.

Identify the theories explaining the distribution and exercise of power within societies.

Understand the relationship between social class and access to resources.

Analyze the role of ethnicity, religion, and education in influencing socioeconomic status.

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Definitions:

Interest Rate

The cost of borrowing money, typically expressed as an annual percentage of the principal amount.

Payments

Transactions that involve the transfer of money from one party to another, often in exchange for goods or services.

Mutual Fund

An investment vehicle that pools money from many investors to purchase a diversified portfolio of stocks, bonds, or other securities.

Deposit

A sum of money placed into a bank account or with a financial institution as a part of a transaction or for safekeeping.