Portman Corporation engaged in the following transactions during 2024: a. On January 1, 2024, Portman deposited $11,660 in a certificate of deposit paying 6% interest compounded semiannually (3% per 6-month period). The certificate will mature on December 31, 2027. b. On January 1, 2024, Portman established an account with Lee County Bank

FINANCIAL ACCOUNTING
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ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Future Values and Long-Term Investments Use Future Value of a Single Amount , Present Value of a Single Amount , Future Value of an Annuity and Present Value of an Annuity , or your calculator to complete the requirement below. Round factors to five decimal places. Portman Corporation engaged in the following transactions during 2024: a. On January 1, 2024, Portman deposited $11,660 in a certificate of deposit paying 6% interest compounded semiannually (3% per 6-month period). The certificate will mature on December 31, 2027. b. On January 1, 2024, Portman established an account with Lee County Bank. Portman will make quarterly payments of $2,500 to Lee beginning on March 31, 2024, and ending on December 31, 2025. Lee guarantees an interest rate of 8% compounded quarterly (2% per 3- month period). Required: 1. Complete the information needed to prepare a cash flow diagram for each of these two investments.
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