When a long-term note payable is issued, the entire amount should be initially recorded as a long-term note payable.
YES OR NO ??
YES... When a long term note payable is issued, the entire amount should be initially recorded as a long term note payable only. Long term note payable is classified as one whose maturity is due over a period of more than 1 year. Same is reflected in liabilities side of balance sheet.
When a long-term note payable is issued, the entire amount should be initially recorded as a...
True or False... When a long-term note payable is issued, the entire amount should be initially recorded as a long-term note payable
Kalan süre: 62:50 Soru 5 On July 1, 2013, Avery Services issued a long-term note payable for $10,000. It is payable over a 5-year term in $2.000 installments on July 1 of each succeeding year. When the note was issued, the principal amount was recorded in Long-term notes payable and a second entry was made to reclassify the current portion How will this information be shown on the balance sheet dated December 31, 20137 Yanitiniz: O $10,000 shown as current...
STIOV #5 8 Long Term Note Equipment on July 1 Note Payable in the amount of $800,000 was signed when Extra Const al 19. 2016. The entire note will be repaid in 3 years, but Interest will be issuance of the Long Term Note and the issue ad the Adjusting Entry on December 31st, 2016 for 6 months interest. If the Long Term Note Payable was to be repaid in 5 years, as stated above, in what section of the...
STIOV #5 8 Long Term Note Equipment on July 1 Note Payable in the amount of $800,000 was signed when Extra Const al 19. 2016. The entire note will be repaid in 3 years, but Interest will be issuance of the Long Term Note and the issue ad the Adjusting Entry on December 31st, 2016 for 6 months interest. If the Long Term Note Payable was to be repaid in 5 years, as stated above, in what section of the...
A short-term note payable With no stated rate of interest should be recorded a. at maturity value. b. recorded at the face amount. c. discounted to present value. d. reported separately from other short-term notes payable.
When a company accrues interest payable on a long-term note at year-end, the interest payable must be shown as a long-term liability on the balance sheet, along with the long-term note payable balance yes or no?
On July 1, 2013, Avery Services issued a 4% long term note payable for $10,000. It is payable over a 5-year term in $2.000 principal installments on July 1 of each year Each yearly installment will include both principal repayment of $2.000 and interest payment for the preceding one-year period. What happens on July 1, 2014? Avery pays out $400 of interest only Avery pays out $400 of interest plus $2,000 of principal Avery pays out $2,000 of principal only...
Soru 12 On July 1, 2013, Avery Services issued a 49 long-term note payable for $10,000. It is payable over a 5-year term in 52,000 principal installments on July 1 of each year. Each yearly installment will include both principal repayment of $2,000 and interest payment for the preceding one year period. What happens on December 21, 2013 before statements are prepared Yanitiniz: O Avery must accrue 5200 of interest expense O Avery must accrue for the coming $2,000 principal...
Explain why the following statement is false. If a long-term note payable has a stated interest rate, that rate should be considered to be the effective rate.
3. Hoover Company has a long-term note payable for $300,000 on January 1, 2012. Each month the company is required to pay $75,000 on the note. How will this note be reported on January 31, 2012? 4. Under the effective-interest method of amortizing bond premium, the interest expense recorded for each semiannual interest payment: will equal the amount of cash paid for each semiannual interest payment. is equal to the carrying value of the bond times the contract rate of...