3) A $400,000 demand loan was taken out on March 18 from the CIBC Bank at a cost of 12% p.a. The demand loan agreement provided for a final payment on December 29, and payments of $100,000 on June 15 and $200,000 on October 17. Using the declining balance method, how much must be paid on December 29? a. how much is owing on June 15th after the payment? b. how much is owing on Oct 17th after the payment? c. how much is the last payment on Dec 29th?

3) A $400,000 demand loan was taken out on March 18 from the CIBC Bank at a cost of 12% p.a. The demand loan agreement provided for a final payment on December 29, and payments of $100,000 on June 15 and $200,000 on October 17. Using the declining balance method, how much must be paid on December 29? a. how much is owing on June 15th after the payment? b. how much is owing on Oct 17th after the payment? c. how much is the last payment on Dec 29th?

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter12: Current Liabilities

Section: Chapter Questions

Problem 11EB: Whole Leaves wants to upgrade their equipment, and on January 24 the company takes out a loan from...

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