Frasquita acquired equipment from the manufacturer on 6/30/2013 and gave a noninterest-bearing note in exchange. Frasquita is obligated to pay $566,000 on 4/30/2014 to satisfy the obligation in full.. If Frasquita accrued interest of $15,000 on the note in its 2013 year-end financial statements, what amount would it record the equipment on its 6/30/2013 balance sheet? a. $541,000 b. $531,000 c. $566,000 d. $516,000
Frasquita acquired equipment from the manufacturer on 6/30/2013 and gave a noninterest-bearing note in exchange. Frasquita is obligated to pay $566,000 on 4/30/2014 to satisfy the obligation in full.. If Frasquita accrued interest of $15,000 on the note in its 2013 year-end financial statements, what amount would it record the equipment on its 6/30/2013 balance sheet? a. $541,000 b. $531,000 c. $566,000 d. $516,000
Intermediate Accounting: Reporting And Analysis
3rd Edition
ISBN:9781337788281
Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Chapter13: Investments And Long-term Receivables
Section: Chapter Questions
Problem 10MC: On January 1, 2019, Park Company accepted a 36,000, non-interest-bearing, 3-year note from a major...
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
Transcribed Image Text:Frasquita acquired equipment from the manufacturer on
6/30/2013 and gave a noninterest-bearing note in exchange.
Frasquita is obligated to pay $566,000 on 4/30/2014 to satisfy
the obligation in full..
If Frasquita accrued interest of $15,000 on the note in its 2013
year-end financial statements, what amount would it record the
equipment on its 6/30/2013 balance sheet?
a. $541,000
b. $531,000
c. $566,000
d. $516,000
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