Loans Scotiabank approved a $230,000.00 line of credit for Buhler Industries at prime + 1%. It requires only the repayment of accrued interest on the 24th of each month, which is automatically deducted from the checking account of Buhler Industries. Buhler took out an advance on December 6 for $160,000.00 and made a payment of $130,000.00 on January 16. The prime rate was 5.25% initially and increased to 6.5% on January 7. Complete the repayment schedule below by filling in the payment and principal amounts. Date Balance Annual before Interest Transaction Rate Number Interest of Days Charged Accrued Interest Payment (+) or Advance (-) Principal Balance after Amount Transaction Dec 6 Dec 24 $160,000.00 $160,000.00 6.25% 18/365 $493.15 $493.15 $160,000.00 Jan 7 6.25% $160,000.00 14/365 $383.56 $383.56 $160,000.00 Jan 16 $160,000.00 7.5% 9/365 $295.89 $679.45 $30,000.00 Jan 24 $30,000.00 7.5% 8/365 $49.32 $728.77 $30,000.00 You can earn partial credit on this problem.
Loans Scotiabank approved a $230,000.00 line of credit for Buhler Industries at prime + 1%. It requires only the repayment of accrued interest on the 24th of each month, which is automatically deducted from the checking account of Buhler Industries. Buhler took out an advance on December 6 for $160,000.00 and made a payment of $130,000.00 on January 16. The prime rate was 5.25% initially and increased to 6.5% on January 7. Complete the repayment schedule below by filling in the payment and principal amounts. Date Balance Annual before Interest Transaction Rate Number Interest of Days Charged Accrued Interest Payment (+) or Advance (-) Principal Balance after Amount Transaction Dec 6 Dec 24 $160,000.00 $160,000.00 6.25% 18/365 $493.15 $493.15 $160,000.00 Jan 7 6.25% $160,000.00 14/365 $383.56 $383.56 $160,000.00 Jan 16 $160,000.00 7.5% 9/365 $295.89 $679.45 $30,000.00 Jan 24 $30,000.00 7.5% 8/365 $49.32 $728.77 $30,000.00 You can earn partial credit on this problem.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
![Loans
Scotiabank approved a $230,000.00 line of credit for Buhler Industries at prime + 1%. It requires only the repayment of accrued interest on the 24th of each month, which is automatically deducted from the
checking account of Buhler Industries. Buhler took out an advance on December 6 for $160,000.00 and made a payment of $130,000.00 on January 16. The prime rate was 5.25% initially and increased to
6.5% on January 7.
Complete the repayment schedule below by filling in the payment and principal amounts.
Date
Balance Annual
before Interest
Transaction Rate
Number Interest
of Days Charged
Accrued
Interest
Payment
(+) or
Advance
(-)
Principal
Balance after
Amount
Transaction
Dec 6
Dec 24
$160,000.00
$160,000.00
6.25%
18/365
$493.15 $493.15
$160,000.00
Jan 7
6.25%
$160,000.00
14/365
$383.56
$383.56
$160,000.00
Jan 16 $160,000.00
7.5%
9/365
$295.89 $679.45
$30,000.00
Jan 24 $30,000.00
7.5%
8/365
$49.32
$728.77
$30,000.00
You can earn partial credit on this problem.](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fc28db22c-8342-432d-9421-9a63d659c20d%2Fd2f2e539-5493-437d-8ebe-5af227ee4e49%2F3gsbgg_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Loans
Scotiabank approved a $230,000.00 line of credit for Buhler Industries at prime + 1%. It requires only the repayment of accrued interest on the 24th of each month, which is automatically deducted from the
checking account of Buhler Industries. Buhler took out an advance on December 6 for $160,000.00 and made a payment of $130,000.00 on January 16. The prime rate was 5.25% initially and increased to
6.5% on January 7.
Complete the repayment schedule below by filling in the payment and principal amounts.
Date
Balance Annual
before Interest
Transaction Rate
Number Interest
of Days Charged
Accrued
Interest
Payment
(+) or
Advance
(-)
Principal
Balance after
Amount
Transaction
Dec 6
Dec 24
$160,000.00
$160,000.00
6.25%
18/365
$493.15 $493.15
$160,000.00
Jan 7
6.25%
$160,000.00
14/365
$383.56
$383.56
$160,000.00
Jan 16 $160,000.00
7.5%
9/365
$295.89 $679.45
$30,000.00
Jan 24 $30,000.00
7.5%
8/365
$49.32
$728.77
$30,000.00
You can earn partial credit on this problem.
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