1. Your brother borrowed from your neighbor P7,000 to buy a new mobile phone. The neighbor charged 11% for the borrowed amount payable after 3 years. 2. You deposited P5,000 from the savings of your daily allowance in time deposit account with your savings bank at a rate of 1.5% per annum. This will mature in 6 months. In items 1&2, what is the: a.) Annual interest, b.) Total interest c.) Amount to be received or paid at the end of the term.

1. Your brother borrowed from your neighbor P7,000 to buy a new mobile phone. The neighbor charged 11% for the borrowed amount payable after 3 years. 2. You deposited P5,000 from the savings of your daily allowance in time deposit account with your savings bank at a rate of 1.5% per annum. This will mature in 6 months. In items 1&2, what is the: a.) Annual interest, b.) Total interest c.) Amount to be received or paid at the end of the term.

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter12: Current Liabilities

Section: Chapter Questions

Problem 15MC: Marathon Peanuts converts a $130,000 account payable into a short-term note payable, with an annual...

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