Business, 25.11.2020 16:40, hamptonjeleesa

On January 1, 2020, a borrower signed a long-term note, face amount, $260,000; time to maturity, three years; stated rate of interest, 8%. The market rate of interest of 10% determined the cash received by the borrower. The note will be paid in three equal annual installments of $100,888 each December 31 (which is also the end of the accounting period for the borrower).Required:1. Compute the cash received by the borrower. $ 231,593 2. Prepare a debt amortization schedule.2. Provide the required entries for the borrower for the issuance of the note on January 1, 2020, and the interest payments in 2020, 2021, and 2022.Date Cash Interest Expense Reduction in NP. Carrying valueJan. 1, 2020 231,593Dec. 31, 2020 93,127 23,159 699,680 161,625Dec. 31, 2021 93,127 16,163 76,964 84,661Dec 31, 2022 93,127 8,466 848,661 0 Total 279,381 47,788 0Date Account Name Cr. Dr. Jan. 1, 2020 Cash 231,590 0 Note Payable 8,410 8,410 Dec. 31, 2020 Interest Expense 23,159 0 Cash 69,968 0Dec. 31, 2021 Interest Expense 0 93,127 Note Payable 16,163 0 Cash 76,964 0Dec 31, 2022 Interest Expense 0 93,127 Note Payable 8,466 0

Answers: 2

Show answers

Other questions on the subject: Business

Business, 22.06.2019 05:00, leonidas117

Which of the following differentiates cost accounting and financial accounting? a. the primary users of cost accounting are the investors, whereas the primary users of financial accounting are the managers. b. cost accounting measures only the financial information related to the costs of acquiring fixed assets in an organization, whereas financial accounting measures financial and nonfinancial information of a company's business transactions. c. cost accounting measures information related to the costs of acquiring or using resources in an organization, whereas financial accounting measures a financial position of a company to investors, banks, and external parties. d. cost accounting deals with product design, production, and marketing strategies, whereas financial accounting deals mainly with pricing of the products.

Answers: 3

continue

Business, 22.06.2019 11:30, astorkid

Mark knopf is an auditor who has been asked to provide an audit and financial statement certification for a company that is going public on the new york stock exchange. knopf wants to know his personal liability if the company provides him with inaccurate or false information. which of the following sources of law will him answer that question? a. the city ordinances where the company headquarters is located. b. the state constitution of the state where the company is incorporated. c. code of federal regulations. d. all of the above

Answers: 1

continue

Business, 22.06.2019 14:30, violetvinny

crow design, inc. is a web site design and consulting firm. the firm uses a job order costing system in which each client is a different job. crow design assigns direct labor, licensing costs, and travel costs directly to each job. it allocates indirect costs to jobs based on a predetermined overhead allocation rate, computed as a percentage of direct labor costs. direct labor hours (professional) 6,250 hours direct labor costs ($1,800,000 support staff salaries ,000 computer ,000 office ,000 office ,000 in november 2012, crow design served several clients. records for two clients appear here: delicious treats mesilla chocolates direct labor 700 hours 100 hours software licensing $ 4,000 $400 travel costs 8,000 1. compute crow design’s direct labor rate and its predetermined indirect cost allocation rate for 2012. 2. compute the total cost of each job. 3. if simone wants to earn profits equal to 50% of service revenue, how much (what fee) should she charge each of these two clients? 4. why does crow design assign costs to jobs?

Answers: 2

continue

Business, 23.06.2019 07:40, hjamileth77

Given the production function q=96(k^0.3)(l^0.7), find the mpk and mpl functions. is mpk a function of k alone, or of both k and l? what about mpl?

Answers: 2

continue

Do you know the correct answer?

On January 1, 2020, a borrower signed a long-term note, face amount, $260,000; time to maturity, thr...