A bank loan amounting to P100,000 was obtained on October 1. The loan and 10% interest are payable in 6 months.
Q: AB PC Supplies obtains a P5M bank loan at 8% interest compounded semi-annually. The company repays…
A: Loan Amount is P5million Interest rate is 8% Compounded semi annually Semi annual Interest rate…
Q: A debt of P 30,000 was paid for as follows: P 4,000 at the end of 3 months, P 5,000 at the end of 12…
A: Present Value refers to the value of cash flows today which is to be received at some future time…
Q: A company deposits $10,000 in a bank at the beginning of each year for 20 years. The account earns…
A: Effective Annual Rate is a modified rate of return where it considers the compounding effect.…
Q: A company purchases equipment with a $20,000 note payable. The note is to be paid in $5,000 annual…
A: Usually, notes payable is to be treated as a current liability for the organization but as per the…
Q: Lenagar Lumber Inc. is making monthly payments of $572.39 and paying nominal 9% interest on a…
A: A loan amortization table is a schedule of loan payments with bifurcation of interest paid in…
Q: An employee at LaserKinetics.com borrows $10,000 on May 1 and must repay a total of $10,700 exactly…
A: Interest rate is the rate of return paid from an investment. Amount borrowed = $10,000 Repaid =…
Q: A debt of $6361 borrowed today will be due in 4 years and 6 months. Determine the accumulated value…
A: Formula for Compound Interest: Accumulated value=Initial principal balance×1+RateNumber of times…
Q: Imagine the company that you work for borrows $8,000,000 at 8% interest, and the loan is to be paid…
A: The loan borrowed would be given, with the interest amount. The interest should be paid on the given…
Q: On 01/09/20x1 the company received an interest-bearing loan of 12000 euros for a period of 8 months.…
A: Interest Amount = Loan amount x rate of interest x no of days or months/total days or months Given…
Q: . Debts of $8,000 due 8 months ago and $3,000 due in 4 months are to be paid off today with interest…
A: Given: Outstanding debts $8,000 Time passed since the due date in months 8 Debt Due $3,000…
Q: On January 1, Year 1, Beatie Company borrowed $400,000 cash from Central Bank by issuing a…
A: Amortization schedule of interest and principal payment for 5 periods is as under:
Q: 2. A loan of P2,000 is made for a period of 13 months. from January 1 to-lanuary 31 the following…
A:
Q: A company borrowed $10,000 by signing a 180-day promissory note at 11%. The maturity value of the…
A: Amount Borrowed =$ 10,000 Number of days = 180 Rate of Interest = 11% per annum = 11/12 % Maturity…
Q: XYZ Company has taken out a 5-years instalment loan of AED 100,000 at a nominal interest equal rate…
A: Given: Loan amount in AED 100,000 Nominal interest rate 12% Loan tenure in years 5 Payment…
Q: A loan of $20,483 was repaid at the end of 11 months. What size repayment check (principal and…
A: AMOUNT OF LOAN COST CAN BE CALCULATED USING THE FOLLOWING FORMULA: A=P1+rt WHERE, A = amount of loan…
Q: ABC Factory borrows Php 700,000 at 6% interest compounded every 4 months for 36 months. How much…
A: Borrowed amount (P) = Php 700,000 Annual interest rate = 6% Interest rate per 4 months (r) = 6%*4/12…
Q: What is the total interest paid on a loan of $5,000 at APR = 8% for one year.
A: Loan amount (LV) = $5000 Interest rate (r) = 8% Period (n) = 1 Year
Q: (c) A motor vehicle which costs RM20,000 was bought on credit terms, with payment of 10% as deposit…
A: To find the Interest expenses we will use the following formula: Compounded Total Interest = P *…
Q: Find the compound interest earned if PhP 31,496 is deposited in a bank at 2.6% compounded monthly…
A: Present value is the sum of the current value of money of future cash flows. It is also known as a…
Q: Campus Flights takes out a bank loan in the amount of $210,000 on March 1. The terms of the loan…
A: Laon amortization schedule means where repayment during the life of loan is written with interest.
Q: A debt of P 15,000 was paid for as follows: P 4,000 at the end of 3 months, P 5,000 at the end of 12…
A: Quaterly Interest rate is 18%4=4.5% To Find:- 'F'
Q: A company borrowed at 7 42% compounded monthly to purchase equipment, agreeing to make payments of…
A: Given, The rate of interest is 7.42% compounded monthly. Quarterly payments is $2900 Term is 17…
Q: A six-month bank loan in the amount of $12,000 had been obtained on September 1. Interest is to be…
A: Accrual Concept - According to this concept all the expenses incurred whether paid or not and all…
Q: ESD Company borrowed 5 million pesos from a bank on September 30, 2015. The loan principal is…
A: Interest expense is the interest amount paid by the borrower of the loan at regular time interval.…
Q: A loan shark made a loan of 5,000 to be repaid with 5,500 dollars at the end of the two months. What…
A: Simple interest = Principal * Interest rate percentage * period Given: Loan value = 5000 Amount to…
Q: 00 in cash and $4,000 in loans payable. A minimum cas th when the preliminary cash balance is below…
A: The working is given as,
Q: A loan of $2500 was repaid at the end of 39 weeks with a check for $2812.50. What annual rate of…
A: Loan amount (P) = $2500 Repayment after 39 weeks (A) = $2812.50 Interest Paid = (A - P) = $2812.50 -…
Q: A debt of P15,000 was paid for as follows: P4,000 at the end of 3 months, P5,000 at the end of 12…
A: Quarterly Interest rate = Annual Interest rate / 4 quarters = 18% / 4 = 4.5% per quarter
Q: A loan of ₱2,000 is made for a period of 13 months, from January 1 to January 31 the following year,…
A: The future amount due at the end of the loan period is the sum of the principal amount and the…
Q: A. CM Company borrowed 2000,000 pesos from a bank on June 30, 2015. The loan has an annual interest…
A: Amortized loan is one in which the borrower is required to make regular, planned instalments that…
Q: The following information is given for a 60-month loan from a bank: Debt repayments are made at the…
A: Given information: Term of loan : 60 months First installment : 300 TL Interest rate : 12.682503%…
Q: What is the total interest paid on a loan of $5,000 at APR = 6% for one year.
A: Loan amount = $5000 Interest rate = 6% Period = 1 Year
Q: A loan of P15 000 is taken out. If the interest rate on the loan is 7%, how much interest is due…
A: Notes Payable - Notes Payable is the liability for the company which needs to be paid after a fixed…
Q: months. What is t
A: The outstanding principle after the 10th payment can be calculated as follows :
Q: ABC Company borrows $497,000 from the bank at 7% for a three year period on Jan. 01. The loan will…
A: As per IFRS 9 Financial instruments, Borrowing from bank will be considered as Financial liability…
Q: A business borrowed $50,000 at 8% compounded monthly. If the loan is to be paid in equal quarterly…
A: In this problem, the number of payment period and compounding is not the same, hence, we will first…
Q: A Loan amounting to PHP150,000 was secred dated, January 1, 2016. the loan will be paid by means of…
A: The present value of loan is equal to the present value of all future term installments discounted…
Q: On July 1, Shady Creek Resort borrowed $250,000 cash by signing a 10-year, 8% installment note…
A: Installment note is a type of loan that allows individuals to borrow a large amount of money that…
Q: Cranes Limited took a loan of $ 450,000 at 4% compounded monthly from its bank to train its…
A: When the loans are repaid in periodic instalments, each periodic instalment have 2 components i.e.…
Q: A loan of P20,000 was paid as follows: P2,000 at the end of 2 months, P5,000 at the end of 12…
A: The discounted value of a sum likely to be received in the future is known as the present value of…
Q: A loan of Php 5,000 at an interest rate of 12% per annum for the period of February 1 to May 20.…
A: Ordinary simple interest = Principle loan * Interest rate * Number of days / 365 days in a year
Q: What future amounts is due at the end of the loan period?
A: Loan amount = php 2500 Period of 13 months, from january 1 to january 31 the following year.…
Q: A Php 111,205 was loaned at an interest rate of 0.06. 7 annual payments has to be settled, the…
A: Here, Loan Amount is Php 111,205 Interest Rate is 6% No. of Annual Payments required is 7 First…
Q: On 1/5, an amount of 200,000 dinars was borrowed with an interest of 18%. The term of the loan…
A: Given that: Loan amount = 200,000 dinars Interest rate = 18%
Q: On January 1, Year 1, Brown Co. borrowed cash from First Bank by issuing a $100,000 face value,…
A: The financial statement indicates the operational activities of the entity and its stand in the…
Q: A man owes Php 10,000 with interest at 8% payable semi-annually. Payments are at the beginning of…
A: Loan amount (P) = Php. 10,000 Annual interest rate = 8% Semi annual interest rate (R) = 8%/2 = 4%…
Q: 1. A man borrows Php 64,000 from a loan association. In repaying this debt, he has to pay Php 4000…
A: Simple Interest is calculated directly on the principal for the respective period of time. Simple…
Step by step
Solved in 2 steps with 1 images
- A customer takes out a loan of $130,000 on January 1, with a maturity date of 36 months, and an annual interest rate of 11%. If 6 months have passed since note establishment, what would be the recorded interest figure at that time? A. $7,150 B. $65,000 C. $14,300 D. $2,383Chemical Enterprises issues a note in the amount of $156,000 to a customer on January 1, 2018. Terms of the note show a maturity date of 36 months, and an annual interest rate of 8%. What is the accumulated interest entry if 9 months have passed since note establishment?A six-month bank loan in the amount of $12,000 had been obtained on September 1. Interest is to be computed at an annual rate of 8.5 percent and is payable when the loan becomes due. What is the amount of interest expense recognized for the entire current year on the $12,000 bank loan obtained September 1? Could you explain more details about this question, thank you.
- Honeycomb Company issued a note receivable to a customer on September 1. The face value of the note was $20,000 at 5% interest for 7 months. What is the accrued interest journal entry for Honeycomb assuming their fiscal year is December 31?Create the amortization schedule for a loan of $5,600, paid monthly over two years using an APR of 8 percent. Enter the data for the first three months. Note: Round your answers to 2 decimal places. Month 1 2 3 Beginning Balance Total Payment Interest Paid Principal Paid Ending BalanceOn September 1, Kennedy Company loaned $126,000, at 11% annual interest, to a customer. Interest and principal will be collected when the loan matures one year from the issue date. Assuming adjustments are only made at year-end, what is the adjusting entry for accruing interest that Kennedy would need to make on December 31, the calendar year-end? Multiple Choice Debit Cash, $4,620; credit Interest Revenue, $4,620. Debit Interest Expense, $4,620; credit Interest Payable, $4,620 Debit Interest Receivable, 4,620; credit Interest Revenue, $4620. Debit Interest Expense, $13,860; credit Interest Payable, $13,860 Debit Interest Receivable, $13,860; credit Cash, $13,860 Graw 7:26 PM W 100% 3 Type here to search 2/21/2022
- XYZ Company lent $9,000 at 10% interest on December 1, 2019. The amount plus all interests accrued will be collected after 1 year. At the end of December, which of the following journal entry is required to take up the interest income? Select one: a. Debit Cash $900; Credit Interest Revenue $900 b. Debit Interest Revenue $75; Credit Interest Receivable $75 c. Debit Interest Receivable $900; Credit Unearned Revenue $900 d. Debit Interest Receivable $75; Credit Interest Revenue $75A company borrowed 20.000 TL from the bank signing a 9%, 3-month note on September 1. Principal and interest are payable to the bank on December 1. If the company prepares monthly financial statements, the adjusting entry that the company should make for interest on September 30, would be? (Apply simple interest on the loan)Prepare the Adjusting entries for December 31,2021. 1. Borrowed 100,000 by issuing a 1-year note with 7% annual interest to century savings bank on Oct. 1.2021. 2. Invested 90,000 cash in a certificate of deposit that paid 4% annual interest . The certificate was acquired on May 1 and carried a 1-year term to maturity.
- Honeycomb Company issued a note receivable to a customer on September 1. The face value of the note was $20,000 at 5% interest for 7 months. What is the accrued interest journal entry for Honeycomb assuming their fiscal year is December 31? Debit: Interest Income $333.33; Credit: Interest Receivable $333.33 Debit: Interest Receivable $1,000; Credit: Interest Income $1,000 Debit: Interest Receivable $583.33; Credit: Interest Income $583.33 Debit: Interest Receivable $333.33; Credit: Interest Income $333.33Below are the details of a loan Levis' obtained from their bank on November 1, 2021. 3 Required: Prepare the following journal entries: a. On November 1, 2021 Levis' borrowed $200,000 from a bank with a five year term at an interest rate of 7% per annum. 6 7 Date ACCOUNT TITLES Debit Credit 8. 1-Nov 9 10 b. The first loan payment is due at the end of the month in the amount of $3,800. This payment includes 11 $1,440 of interest. 12 13 Date ACCOUNT TITLES Debit Credit 14 30-Nov 15 c. Total loan payments made in 2022 will be $600. It is determined that $36,000 of this amount will 8 go towards the principal of the loan. 9 Date ACCOUNT TITLES Debit Credit 31-DecJournalize the following entries on the books of the borrower and creditor. Label accordingly. (Assume a 360-day year is used for interest calculations.) Jun. 1 Regis Co. purchased merchandise on account from Winthrop Co., $60,000, terms n/30. Jun. 30 Regis Co. issued a 60-day, 5% note for $60,000 on account. Aug. 29 Regis Co. paid the amount due.