9:18 VOD LTE YE.. 494 On January 1, 2024, Bomber Co, had an overdue 10% notes payable to Landmine Bank at P8,000,000 and accrued Interest of P800,000. As a result of a restructuring agreement on January 1, 2024, Landmine agreed to the following terms: - The principal obligation is reduced by P6,000,000 - accrued interest of P800,000 is forgiven - The date of maturity is extended to December 31, 2027 - Annual interest of 12% is to be paid for 4 years every December 31. What is the present value of the new note payable on January 1, 2024? * 1 point 6,380,400 6,000,000 4,098,000 5What is the gain on extinguishment of debt to be recognized for 2024? * 1 point 2,000,000 2,800,000 2,419,600 1,619,600 What is the interest expense to be recognized for 2024? *1 point 720,000 800,000 600,000 638,040,464,000 Shin question
9:18 VOD LTE YE.. 494 On January 1, 2024, Bomber Co, had an overdue 10% notes payable to Landmine Bank at P8,000,000 and accrued Interest of P800,000. As a result of a restructuring agreement on January 1, 2024, Landmine agreed to the following terms: - The principal obligation is reduced by P6,000,000 - accrued interest of P800,000 is forgiven - The date of maturity is extended to December 31, 2027 - Annual interest of 12% is to be paid for 4 years every December 31. What is the present value of the new note payable on January 1, 2024? * 1 point 6,380,400 6,000,000 4,098,000 5What is the gain on extinguishment of debt to be recognized for 2024? * 1 point 2,000,000 2,800,000 2,419,600 1,619,600 What is the interest expense to be recognized for 2024? *1 point 720,000 800,000 600,000 638,040,464,000 Shin question
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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Transcribed Image Text:9:18
VOD
LTE
YE.. 494
On January 1, 2024, Bomber Co, had an overdue 10% notes payable to Landmine Bank at P8,000,000 and accrued
Interest of P800,000. As a result of a restructuring agreement on January 1, 2024, Landmine agreed to the following
terms: - The principal obligation is reduced by P6,000,000 - accrued interest of P800,000 is forgiven - The date of
maturity is extended to December 31, 2027 - Annual interest of 12% is to be paid for 4 years every December 31. What is
the present value of the new note payable on January 1, 2024? * 1 point 6,380,400 6,000,000 4,098,000 5What is the
gain on extinguishment of debt to be recognized for 2024? * 1 point 2,000,000 2,800,000 2,419,600 1,619,600 What is
the interest expense to be recognized for 2024? *1 point 720,000 800,000 600,000 638,040,464,000
Shin question
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