A company borrowed $41,900 cash from the bank and signed a 4-year note at 9% annual...
A company borrowed $41,900 cash from the bank and signed a 4-year note at 9% annual interest. The present value of an annuity factor for 4 years at 9% is 3.2397. The present value of a single sum factor for 4 years at 9% is .7084. The annual annuity payments equal:
Multiple Choice
$29,681.96.
$12,933.30.
$41,900.00.
$59,147.37.
$135,743.43.
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A company borrowed $41,900 cash from the bank and signed a
4-year note at 9% annual...
A company borrowed cash from the bank and signed a 6-year note at 6% annual interest....
A company borrowed cash from the bank and signed a 6-year note at 6% annual interest. The present value for an annuity (series of payments) at 6% for 6 years is 4.9173. The present value of 1 (single sum) at 6% for 6 years is 0.7050. Each annual payment equals $8,800. The present value of the note is:
A company purchased equipment and signed a 4-year installment loan at 6% annual interest. The annual...
A company purchased equipment and signed a 4-year installment loan at 6% annual interest. The annual payments equal $11,200. The present value for an annuity (series of payments) at 6% for 4 years is 3.4651. The present value of 1 (single sum) for 4 years at 6% is 7921. The present value of the loan is: Multiple Choice $11,200. $8,872. $14,140 $44.800 $38,809
A company purchased equipment and signed a 3-year installment loan at 8% annual interest. The annual...
A company purchased equipment and signed a 3-year installment loan at 8% annual interest. The annual payments equal $10,300. The present value of an annuity factor for 3 years at 8% is 2.5771. The present value of a single sum factor for 3 years at 8% is 7938. The present value of the loan is Multiple Choice o ,76. o О $30,900. o O stoзoo. o O s26. Бала o О 312,976,
A company purchased equipment and signed a 3-year installment loan at 6% annual interest. The annual...
A company purchased equipment and signed a 3-year installment loan at 6% annual interest. The annual payments equal $9,800. The present value of an annuity factor for 3 years at 6% is 2.6730. The present value of a single sum factor for 3 years at 6% is .8396. The present value of the loan is: $29,400. $8,228. $9,800. $11,672. $26,195.
On August 1, a $60,000, 7%, 3-year installment note payable is issued by a company. The...
On August 1, a $60,000, 7%, 3-year installment note payable is issued by a company. The note requires equal payments of principal plus accrued interest be paid each year on July 31. The present value of an annuity factor for 3 years at 7% is 2.6243. The present value of a single sum factor for 3 years at 7% is 0.8163. The payment each July 31 will be: Multiple Choice 1. $20,000.00. 2. $22,863.24. 3. $20,800.00. 4. $20,400.00. 5. $2,863.10.
A company issues 9%, 7-year bonds with a par value of $260,000 on January 1 at...
A company issues 9%, 7-year bonds with a par value of $260,000 on January 1 at a price of $273,732, when the market rate of interest was 8%. The bonds pay interest semiannually. The amount of each semiannual interest payment is: A) $23,400. B) $11,700. C) $0. D) $20,800. E)$10,400. A company must repay the bank a single payment of $26,000 cash in 6 years for a loan it entered into. The loan is at 7% interest compounded annually. The...
On January 1, Year 1. Stratton Company borrowed $250,000 on a 10-year, 9% installment note payable....
On January 1, Year 1. Stratton Company borrowed $250,000 on a 10-year, 9% installment note payable. The terms of the note require Stratton to pay 10 equal payments of $38.955 each December 31 for 10 years. The required general journal entry to record the payment on the note on December 31, Year 2 is: Multiple Choice Debit Notes Payable $22.500, debit interest Expense $16,455; credit Cash $38,955. Debit interest Expense $22,500; debit Notes Payable $16,455; credit Cash $38,955. Multiple Choice...
Oriole Ltd. signed an instalment note on January 1, 2020, in settlement of an account payable...
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Little Company borrowed $48,000 from Sockets on January 1, 2018, and signed a three-year, 6% installment...
Little Company borrowed $48,000 from Sockets on January 1, 2018, and signed a three-year, 6% installment note to be paid in three equal payments at the end of each year. The present value of an ordinary annuity of $1 for 3 periods at 6% is 2.67301. Required: 1. Prepare the journal entry on January 1, 2018, for Sockets’ lending the funds. 2. Calculate the amount of one installment payment. 3. Prepare an amortization schedule for the three-year term of the...
On January 1 of this year, Shannon Company completed the following transactions (assume a 9% annual...
On January 1 of this year, Shannon Company completed the following transactions (assume a 9% annual interest rate): (FV of $1, PV of $1, FVA of $1, and PVA of $1) (Use the appropriate factor(s) from the tables provided.) Bought a delivery truck and agreed to pay $60,100 at the end of three years. Rented an office building and was given the option of paying $10,100 at the end of each of the next three years or paying $28,100 immediately....
A company purchased equipment and signed a 4-year installment loan at 6% annual interest. The annual payments equal $11,200. The present value for an annuity (series of payments) at 6% for 4 years is 3.4651. The present value of 1 (single sum) for 4 years at 6% is 7921. The present value of the loan is: Multiple Choice $11,200. $8,872. $14,140 $44.800 $38,809
A company purchased equipment and signed a 3-year installment loan at 8% annual interest. The annual payments equal $10,300. The present value of an annuity factor for 3 years at 8% is 2.5771. The present value of a single sum factor for 3 years at 8% is 7938. The present value of the loan is Multiple Choice o ,76. o О $30,900. o O stoзoo. o O s26. Бала o О 312,976,
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