On January 1, 20x1, ABC Co. received a 3-year, noninterest bearing note of ₱133,100 in exchange for land with carrying amount of ₱100,000. The note is due on December 31, 20x3. The effective interest rate is 10%. How much is the carrying amount of the note on December 31, 20x2? 133,100 3. 110,000 121,000 4. 100,000

On January 1, 20x1, ABC Co. received a 3-year, noninterest bearing note of ₱133,100 in exchange for land with carrying amount of ₱100,000. The note is due on December 31, 20x3. The effective interest rate is 10%. How much is the carrying amount of the note on December 31, 20x2? 133,100 3. 110,000 121,000 4. 100,000

Financial Accounting Intro Concepts Meth/Uses

14th Edition

ISBN:9781285595047

Author:Weil

Publisher:Weil

ChapterA: Appendix - Time Value Of Cash Flows: Compound Interest Concepts And Applications

Section: Chapter Questions

Problem 26E

See similar textbooks

Similar questions

22. A company purchased land by signing a note with the seller, requiring down payment of P100,000, payment of P120,000 one year from purchase, and P80,000 three years from purchase. The note is non-interest bearing, but the going rate of similar notes is 10%. Present value of 1 at 10% for 1 period is 0.91. Present value of 1 at 10% for 3 periods is 0.75.
Solar Co. sold a machine in exchange for a P800,000, 4-year, S note, interest is payable annually. Prevailing market rate of interest for this type of note is 10% wrt How much is the carrying amount of the note receivable on January 1, 2021? How much is the carrying amount of the note receivable on December 31, 2021? ments How much is the interest income received on December 31, 2023? ences ( Previous ssors dents
4. What is the carrying amount of the note as of December 31, 2022?
A company issued a P3 million three-year non-interest-bearing note on January 1, 2021, for a piece of land. The note was payable in three equal annual installments every December 31 starting December 31, 2021. The cash price equivalent of the land on January 1, 2021, was P2,401,800. What is the balance of the discount on notes payable on December 31, 2021? Note: Round off PV factor to 4 decimals. round off final answer to the nearest peso
On Jan 1, 20X1, ABC Corp received a P450,000 3-year note from a customer. The principal and interest of the note is collectible in 3 equal payments starting on Jan 1, 20X2. Effective interest rate is 10% . How much is unearned interest income at Jan 1, 20X1? PV of P1 at 10% for 3n = .75131 PV of ordinary annuity of P1 at 10% for 3n = 2.48685 338,090 373,028 111,910 76,972
On January 1, 2022, Cat Corporation sold goods to Rat Company. Rat Company signed a non-interest-bearing note requiring payment of P600,000 annually for seven years. The first paymentwas made on January 1, 2022. The prevailing rate of interest for this type of note at date ofissuance was 10%. PV of an ordinary annuity of 1 at 10% for 6 periods 4.36PV of an ordinary annuity of 1 at 10% for 7 periods 4.871. What is the amount of Sales Revenue credited on January 1, 2022?2. What is the carrying amount of note receivable on December 31, 2022?
On Jan 1, 20X1, ABC Corp received a P450,000 3-year note from a customer. The principal and interest of the note is collectible on Jan 1, 20X4. Effective interest rate is 10% . How much is value of the note at Jan 1, 20X1? PV of P1 at 10% for 3n = .75131 PV of ordinary annuity of P1 at 10% for 3n = 2.48685 338,090 373,028 111,910 76,972
What is the carrying amount of the note as of December 31, 2022? On January 1, 2022. TGIG sold equipment with a historical cost of P10,000,000 and accumulated depreciation of P5,500,000 in exchange for a P6,000,000 non-interest-bearing note due in annual installments as follows: December 31. 2022 - 3, 000, 000 December 31, 2023 - 2, 000, 000 December 31 2024 - 1, 000, 000 There was no exchange price for the equipment. The prevailing rate of interest for a note of this type on January 1, 2022, was 10%. (Round off present value factors to four decimal places.
what is the carrying amount of the note as pf December 31,2022?
On January 1, 20x1, ABC Co. sold a tract of land that was acquired several years ago for ₱2,000,000. ABCCo. received a non-interest bearing note for ₱4,000,000. The note is payable in equal annual installments of₱500,000 every December 31, starting December 31, 20x1. The market interest for similar note was 16%.(Round present value factors to 2 decimal places.)1. What is the carrying amount of the note receivable on January 1, 20x1?2. What amount should be recognized as gain on sale of land in 20x1?3. What is the carrying amount of the note receivable on December 31, 20x1?
On January 1, 2021, VKS Corporation sold goods to IntAcc2 Company. IntAcc2 signed a noninterest-bearing note requiring payment of P600,000 annually for seven years. The first payment was made on January 1, 2021.The prevailing rate of interest for this type of note at date of issuance was 10%.· PV of an ordinary annuity of 1 at 10% for 6 period- 4.36· PV of an ordinary annuity of 1 at 10% for 7 period- 4.87What is the carrying amount of the note receivable on January 1, 2021?
On Jan 1, 20X1, ABC Corp received a P300,000 3-year note from a customer. The principal and interest of the note is collectible on Jan 1, 20X4. Effective interest rate is 10% . How is the interest income at Dec 31, 20X1? PV of P1 at 10% for 3n = .75131 PV of ordinary annuity of P1 at 10% for 3n = 2.48685 7,461 22,539 24,868 30,000