Table 14-12 Bill's Birdhouses

question 441

Multiple Choice

Table 14-12
Bill's Birdhouses
-Refer to Table 14-12. What is the marginal revenue from selling the 1st unit?

• A)$30
• B)$50
• C)$80
• D)$160

---

Definitions:

Redeemed

Usually refers to the repurchase or paying off of a debt or equity security at its original value or at a predetermined value before it matures.

Effective Interest Rate Method

The effective interest rate method is a technique for calculating the actual interest rate for a financial product over its life, considering compounding.

Bonds Payable

A long-term liability account that records the face value of the bonds a company is obligated to repay at a specified future date.

Contract Interest Rate

The rate of interest stated in a loan or credit agreement that must be paid on the principal by the borrower.