Maxwell Corp. holds a note receivable from Highland Ltd. for $500,000. The note has a 6% annual interest rate, payable semiannually, with 5 years until maturity. After holding the note for 1 year (and receiving two interest payments), Maxwell Corp. needs cash and sells the note to First City Bank. The bank requires a 9% interest rate, compounded semiannually. What amount will Maxwell Corp. receive from selling the note?
Q: What amount of cash did glenview receive from customer?
A: Explanation of Revenue from Customers: Revenue from customers refers to the total amount of money a…
Q: What is its Return on equity ?
A: Explanation of Return on Equity (ROE):Return on Equity (ROE) is a measure of financial performance…
Q: Differential Chemical produced 18,000 gallons of Preon and 39,000 gallons of Paron. Joint costs…
A: Step 1:Solution: Workings1. Calculation of the market value of Preon products at the split-off point…
Q: not need ai solution pls provide correct answer general accounting
A: Step 1: Define Gross LossGross loss occurs when the cost of goods sold (COGS) exceeds sales revenue.…
Q: Provide correct answer
A: Step 1: Definition of Contribution MarginContribution margin represents the amount remaining from…
Q: Hii ticher please given answer general accounting question
A: Step 1: Define Cash DisbursementsCash disbursements refer to the actual cash payments made by a…
Q: Provide answer general accounting question
A: Step 1: Calculate the Return of the Original Investment• Return of Original Investment = Original…
Q: What is the book value per share?
A: To calculate the book value per share, we use the formula:Formula:Book Value per Share = Total…
Q: None
A: If David sells 100 T-shirts, his profit would be 500 dollars.
Q: Correct Answer
A: Explanation of Forensic Accounting:Forensic accounting is a specialized area of accounting that…
Q: Margin ratio? General accounting
A: Step 1: Definition of Contribution Margin Ratio The contribution margin ratio is the percentage of…
Q: Falcon Auto Repair Shop uses a job order cost... Please answer the general accounting question
A: Step 1: Define Predetermined Overhead RateThe Predetermined Overhead Rate (POHR) is an estimated…
Q: Need help with this accounting questions
A: Step 1: Definition of Accrual Basis of AccountingThe accrual basis of accounting recognizes revenue…
Q: During the current year, merchandise is sold for $55,000 cash and $565,000 on account. The cost of…
A: Concept of Total Sales RevenueTotal sales revenue refers to the total amount of money a business…
Q: Please given answer general accounting
A: Step 1: Define Important Ratios For Financial ForecastingBusiness and financial analysts utilize…
Q: Accounting problem 5.1
A: Divide the total liabilities by the total equity to get the debt-to-equity ratio.Debt-to-equity…
Q: Ans plz general accounting
A: To solve for the total assets turnover and equity multiplier, we can use the following formulas: a)…
Q: Whats a good response and question to this post? Choosing Canada to grow a business and would be a…
A: To create a response to a post like the one you shared, it's helpful to follow a structured approach…
Q: None
A: Step 1: Definition of Cost of Goods Sold (COGS)The Cost of Goods Sold (COGS) represents the direct…
Q: financial account
A: Step 1: What is Net Worth?Net Worth is the value of what a company or individual owns (assets) after…
Q: I need help with accounting question
A: Step 1: Definition of Relative P/ERelative P/E is a ratio that compares a company's P/E ratio to the…
Q: ?!!
A: Explanation of Unearned Revenue: Unearned revenue, also known as deferred revenue, represents…
Q: What is the price earnings ratio?
A: Price-Earnings (P/E) Ratio:Definition: The P/E ratio is a valuation ratio that compares a company's…
Q: How many units did the company sell in 2012 on these general accounting question?
A: Step 1: Define Units SoldUnits Sold refers to the total number of goods or products sold by a…
Q: Lalit Lumber Company has sales of $13 million per year, all on credit terms calling for payment…
A: Concept of Days Sales Outstanding (DSO)Days Sales Outstanding (DSO) is a financial metric that…
Q: Calculate the firm's annual cash flows associated with the new project?General accounting
A: Step 1:The depreciation tax shield is calculated as follows: Depreciation tax shield = Depreciation…
Q: Please provide answer this general accounting question
A: Step 1: Define Total Current Manufacturing CostsTotal current manufacturing costs refer to the sum…
Q: During the year ended December 31, 2020 ?
A: Explanation of Cash Collected from Customers:Cash collected from customers refers to the actual cash…
Q: Need help with this question solution general accounting
A: Step 1: Analysis of information givenTotal area of the building = 80,000 square feetThis area is…
Q: Solve account tutor
A: The accounting equation is the foundation of double-entry bookkeeping and represents the…
Q: Financial Accounting
A: To estimate the Earnings Per Share (EPS) over the last four quarters, we use the formula:EPS=Stock…
Q: What is the contribution margin per unit?
A: Step 1: Definition of Contribution Margin Per UnitThe contribution margin per unit represents the…
Q: Provide answer
A: Explanation of Net Sales: Net sales represents the total amount of revenue generated by 7D Company…
Q: What is a good response to this post? The Hofstede Country Comparison tool provides an analytical…
A: I hope these suggestions and recommendations help you with your assigned tasks. Have a great day…
Q: Accurate Answer this question
A: Explanation of Predetermined Overhead Rate:The predetermined overhead rate is a calculated rate used…
Q: ??!!
A: The question pertains to the Earnings per Share or EPS.Earnings per share (EPS) is a widely used…
Q: Why is economic substance doctrine crucial in tax accounting ?
A: Explanation of Economic Substance Doctrine:The economic substance doctrine is a legal principle in…
Q: 5 POINTS
A: Explanation of Selling Price: The selling price is the final amount ($195.60) that customers pay for…
Q: What was her capital gains
A: To calculate Maria's capital gains yield, we use the formula: Capital Gains Yield =((Selling Price…
Q: General Accounting
A: Step 1: Define Book ValueBook Value refers to the net value of a company's assets as recorded on its…
Q: Ans
A: Concept of Sales RevenueSales revenue refers to the total income a company generates from selling…
Q: solve one
A: To calculate Abbott's variable overhead spending variance, we use the formula: Variable Overhead…
Q: How do you calculate the gross profit of a company ?
A: Explanation of Gross Profit:Gross profit is a critical financial measure that indicates the…
Q: Can you help me with accounting questions
A: Step 1: Definition of Predetermined Overhead RateThe Predetermined Overhead Rate (POHR) is a rate…
Q: Can you help me with accounting questions
A: Step 1: Definition of Gross Profit MarginThe gross profit margin measures the percentage of revenue…
Q: Allowance for Doubtful Accounts has a debit balance of $2,900 at the end of the year, before…
A: Explanation of Allowance for Doubtful Accounts:Allowance for Doubtful Accounts is a contra-asset…
Q: Financial accounting question
A: Step 1: Define Gross ProfitGross profit is computed by reducing revenue from the cost of goods sold…
Q: Kindly help me with accounting questions
A: Step 1: Definition of Operating Cash Flow (OCF)Operating Cash Flow (OCF) measures the cash generated…
Q: NO WRONG ANSWER
A: Concept of Activity-Based Costing (ABC)Activity-Based Costing (ABC) is a method of allocating…
Q: Exercise 3-12A (Algo) Conducting sensitivity analysis using a spreadsheet LO 3-5 Use the below table…
A: Let's go through each part of the question step by step. Step a: Determine the sales volume, fixed…
Answer? ? General Accounting question
Step by step
Solved in 2 steps
- Peral inc. Loans money to John Kruk Corporation in the amount of 832,000. Pearl accepts an 8% note due in 7 years with interest payable semiannual. After 2 years (and receipt of interest for 2 years), Peral needs money and therefore sells the note to Chicago National Bank which demands interest on the note of 10% compounded semiannually. What is amount Pearl will receive on the sale of the note? (Round factor values to 5 decimal places). Amount received on sale of note is $4. On 1/1/21 we sell equipment and accept a 3-year note receivable for $36,500. The market value is $36,500. Payments of $13,655 include both principal and interest and are to be made annually starting on 1/1/22. The present value of the payments is $36,500. The bank would require the purchaser to pay interest of 6% in order to borrow from them. The equipment cost us $90,000 and had a book value of $40,000. Note: Be sure to show the date of each journal entry. The 'right' journal entry on the 'wrong' date is wrong. a. Prepare an amortization table b. Prepare the journal entry for 1/1/21 c. Prepare the journal entry for 12/31/21 d. Prepare the journal entry for 1/1/22 Amortization table: Journal entries: Debits Credits 1/1/21 12/31/21 1/1/22Wrexham Corp. (WC) purchases computer parts from its suppliers 1/15, net 30. However, to take advantage of the discount WC needs to get a bank loan. The bank charges 8% interest (APR) and a one percent origination fee for the loan (assume the loan is for 1 year and is renewed yearly). What is the effective annual cost of not taking the trade discount? What is the effective cost of the bank loan? Should WC take out the bank loan to take advantage of the trade credit?
- Mountain Grains Cooperative wants to invest $42,000 in a short-term deposit. The bank offers 1.4% interest for a one-year term and 1.3% for a six-month term. (a) How much would Mountain Grainsreceive if the $42,000 is invested for one year? (b) How much would Mountain Grains receive at the end of one year if the $42,000 is invested for six months and then the principal and interest earned is reinvested for another six months? (c) What would the one-year rate have to be to yield the same amount of interest as the investment described in part (b)?Taggart Transcontinental currently has a bank loan outstanding that requires it to make three annual payments at the end of the next three years of $1,000,000 each. The bank has offered to allow Taggart Transcontinental to skip making the next two payments in lieu of making one large payment at the end of the loan's term in three years. If the interest rate on the loan is 6%, then the final payment that the bank will require to make Taggart Transcontinental indifferent between the two forms of payments is closest to:Cerise Company would record a note payable of_____, if the terms of the loan with a bank are as follows: Cersie Company would have to make one $102,000 payment in two years. Assume the market interest rate is 10% per year and the company rounds to the nearest dollar. (The present value of $1 for two periods at 10% is 0.82645). a.) $94,498 b.) $84,298 c.) $10,200 d.) $74,098
- If you withdraw part of your money from a certificate of deposit before the date of maturity, you must pay an interest penalty. Suppose you invested $7000 in a one-year certificate of deposit paying 8.1% interest. After 6 months, you decide to withdraw $7000. Your interest penalty is 3 months simple interest on the $7000. What interest penalty do you pay? (Round your answer to two decimal places)You are offered a note which pays K1,000 in 15 months (or 456 days) for K850. You have K850 which pays a 6.76649% nominal rate, with 365 daily compounding, which is a daily rate of .018538% and an EAR of 7%. You plan to leave the money in the bank if you do not buy the note. The note is riskless. Should you buy it? Show your computations of how you arrive at the decision.A BUILDING CONTRACTOR GIVES A $14,000 PROMISSORY NOTE TO A PLUMBER WHO HAS LOANED HIM $14000. tNHE NITE IS DUE IN 9 MONTHS WITH INTEREST AT 9%. SIX MONTHS AFTER THE NOTE IS SIGNED, THE PLUMBER SELLS IT TO A BANK. IF THE BANK GETS A 10% RETUEN ON ITS INVESTMENT, HOW MUCH WILL THE PLUMBER RECIEVE??
- Your friend signs a promissory note for $2,000 for 30 days with a rate of 2.25% attached. After fifteen days, you realize you need the money and sell the promissory to another friend to yield you 3.00%. How much interest did your friend earn in interest (dollar amount) for holding the promissory note for the last fifteen days?You borrow $1,000 from the bank and agree to repay the loan over the next year in 12 equal monthly payments of $90. However, the bank also charges you a loan initiation fee of $18, which is taken out of the initial proceeds of the loan. What is the effective annual interest rate on the loan, taking account of the impact of the initiation fee? Note: Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places. Use a financial calculator or Excel. Effective annual interest rate 1.49 %National Co. needs to borrow P300,000 for the next 6 months. The company has a line of credit with a bank that allows the company to borrow funds with a 10% interest rate subject to a 20% of loan compensating balance. Currently, National Co. has no funds on deposit with the bank and will need the loan to cover the compensating balance as well as their other financing needs. How much will National Co. need to borrow?