A) Debit Gain on Revaluation $70 000; Credit Buildings $70

question 46

Multiple Choice

• A) Debit gain on revaluation $70 000; credit buildings $70 000
• B) Debit accumulated depreciation buildings $70 000; credit gain on revaluation $70 000
• C) Debit accumulated depreciation buildings $120 000; credit gain on revaluation $70 000; credit buildings $50 000
• D) Debit accumulated depreciation buildings $120 000; credit income account $70 000; credit buildings $50 000

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Definitions:

Corporate Bonds

Bonds issued by corporations to finance their operations, typically with a fixed interest rate.

Risk Premium

The extra amount of return demanded by investors for taking on a higher level of risk.

Volatility

A statistical measure of the dispersion of returns for a given security or market index, often used to gauge the risk involved in investing in that security or market.

Average Rate

is the mean interest rate in a range of rates, or the mean return of a portfolio of assets calculated over a specific period of time.