Correct answer-------------$3,000
Working
Notes payable amount | $ 50,000.00 |
1 year interest @8% (50000 x 8%) | $ 4,000.00 |
Less: Interest for 2019 for 3 months (4000/12*3) | $ 1,000.00 |
Interest expense for 2020 | $ 3,000.00 |
On October 1, 2019, Donna Equipment signed a one-year, 8% interest-bearing note payable for $50,000. Assuming...
On July 1, 2016, Donna Equipment signed a one-year, 8% interest-bearing note payable for $50,000. Assuming that Donna Equipment maintains its books on a calendar year basis, how much interest expense should be reported in the 2017 income statement? A. $1,000. B. $2,000. C. $3,000. D. $4,000
On October 1, 2016, Donna Equipment signed a one-year, 10% interest-bearing note payable for $57,000. Assuming that Donna Equipment maintains its books on a calendar year basis, how much interest expense should be reported in the 2017 income statement?
Note Payable 1 On October 1st, 2019, AMD signed a note payable for $1,000. The note carried a 6% interest rate and was due June 1st, 2020. What journal entry will be required on 12/31/2019? Note Payable 1 On October 1st, 2019, AMD signed a note payable for $1,000. The note carried a 6% interest rate and was due June 1st, 2020. What journal entry will be required on 12/31/2019?
Jane's Donut Co. borrowed $200,000 on January 1, 2016, and signed a one-year note bearing interest at 12% in payable in full at maturity on october 31, 2017. write journal entry for the following dates: Nov 1, 2016 (borrowed), December 31, 2016 (accured interest), and october 21. 2017 ( due date)?
6) Jane's Donut Co. borrowed $200,000 on September 1, 2018, and signed a one-year note bearing interest at 12%. Interest is payable in full at maturity on September 1, 2019. In connection with this note, Jane's should report interest expense at December 31, 2018, in the amount of:
Analyzing Interest-Bearing and Noninterest-Bearing Notes Consider the following three separate scenarios for a one-year, $300,000 note payable issued on September 1, 2020. Complete the table, using the straight-line method to amortize any discount on note payable. Note: Round your answers to the nearest whole dollar. $300,000 Note payable $300,000 Note payable 12% Interest due at maturity 10% interest due at maturity 12% market rate 10% market rate Borrower's FYE*: Dec. 31 Borrower's FYE: Nov. 30 $300,000 Note payable Noninterest-bearing 12%...
On November 1, 2020, Jackson Inc. signed a 90 day note payable at 6% interest, to borrow $120,000. How much interest expense is created by this note payable as at December 31, 2020? (Use 365 days a year. Do not round intermediate calculations and round the final answer to 2 decimal places.) Question 1 On November 1, 2020, Jackson Inc. signed a 90 day note payable at 6% interest, to borrow $120,000. How much interest expense is created by this...
Randall Automotive signed a $5,000,120-day note payable on October 1 that bears interest at an annual rate of 9%. How much will appear on Randall's income statement for interest expense related to this note at December 31? Select one: a. $112.50 b. $4,500 c. $150 d. $450 please show work and thank you :D
Current Attempt in Progress Blossom Company issued a five-year interest-bearing note payable for $354000 on January 1, 2019. Each January the company is required to pay $71000 on the note. How will this note be reported on the December 31, 2020, balance sheet? O Long-term debt, $354000 O Long-term debt, $212000; Long-term Debt due within one year, $71000 O Long-term debt of $283000; Long-term Debt due within one year, $71000 O Long-term debt, $283000
A company borrowed $500,000 on a one-year, 10% note on October 1, 2018, with interest and principal to be paid at maturity. How much interest should be reported on the income statement for the year ending December 31, 2019? a. $50,000 b. $150,000 c. $75,000 d. $37,500