Here Is Some Basic Data for Honey Dukes Corporation

question 39

Multiple Choice

Here is some basic data for Honey Dukes Corporation:

The journal entry to record the cost of jobs sold would include a

• A)debit to Finished Goods Inventory account for $255,000.
• B)credit to Finished Goods Inventory account for $287,000.
• C)debit to Cost of Goods Sold account for $287,000.
• D)credit to Finished Goods Inventory account for $255,000.

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Definitions:

Macaulay Duration

A measure of the weighted average time until a bond's cash flows are paid back, used to assess interest rate risk.

Yield To Maturity

The total return anticipated on a bond if held until it matures.

Interest-Rate Risk

The risk that an investment's value will change due to a change in the absolute level of interest rates, affecting debt securities inversely with respect to their prices and yields.

Unsystematic Risk

The portion of total risk that is specific to a single investment or to a small group of investments, also known as idiosyncratic or specific risk, which can be mitigated through diversification.