Answered: Calculate the two equal payments that…

Calculate the two equal payments that would replace these payments, made in 9 months and in 4 years if money is worth 7.5% compounded quarterly.

Corporate Fin Focused Approach

5th Edition

ISBN:9781285660516

Author:EHRHARDT

Publisher:EHRHARDT

Chapter4: Time Value Of Money

Section4.17: Amortized Loans

Problem 1ST

See similar textbooks

Related questions

Q: Ablue Company had 50,000 shares of P100 par authorized. During 2004, first year of operations, the…

A: The contributed capital includes the total capital value from the issuance of common stock and…

Q: Why is flexible budget variable costs 590,000 x 3?

A: budget prepared by the company in order to estimate the expenses and the income that company is…

Q: Statement 1: Upon expiry or lapse of stock rights, a necessary Journal Entry is required to…

A: Here discuss about the details Shares and stock right issue and dividend distribution and its…

Q: Does collateral reduces moral hazard by borrowers? Why?

A: Introduction: A collateral asset is an asset that a lender accepts as payment for a loan. Depending…

Q: Define transfer pricing and elaborate on FOUR (4) of its purposes. B. In deciding a transfer…

A: There are some transactions that take place within different divisions of an enterprise. Sometimes,…

Q: Raymond Ryans purchased a 50-year-old flat in Melbourne on 15 September 2010 for $350,000 which he…

A: Capital gain is the gain, which a person can earn on the sale of particular asset or capital asset.…

Q: Zest Company noted the following information regarding its returnable containers for fiscal year…

A: Answer: c. P 80,000

Q: Calculate the gross margin (markup rate) for a

A: Gross margin is calculated by deducting the cost of goods sold from the revenues and dividing it by…

Q: ILLUSTRATE THE CASHFLOW DIAGRAM FOR PLAN R AND PLAN S A utility company is considering the…

A: Capital budgeting is a method to select either the most profitable or the least cost alternatives…

Q: The Pangasinan plant of the Pilipinas Company manufactures cash registers. It plansto implement an…

A: Activity-based costing is the method of allocation of the overhead cost to the product based on the…

Q: C. Highlight ONE (1) advantage and ONE (1) disadvantage of the market-based transfer pricing method.

A: Under market based Transfer pricing, the tranfer price between one divison to another divison under…

Q: Calculate the net profit margin for a mixer sold for $125 that has an $80 cost of goods sold and 20%…

A: Net profit margin can be calculated by dividing net profit by sales revenue. The net profit can be…

Q: Joel, JC, and LJ are partners with capital balances of P50,000, P80,000, and P120,000, and share…

A: In a partnership firm, profits and losses are allocated based on a predetermined ratio. The…

Q: 18) Salaries of $675 were paid in cash. The journal entry A) debit to Accounts Payable and a credit…

Q: Question 6 (this question has 2 parts) Gordon Industries Ltd has provided you with the…

A: Ratio analysis is the way of evaluating the financial statements using certain accounting metrics…

Q: Following is the balance sheet of Campbell Company for Year 3: CAMPBELL COMPANY Balance sheet Assets…

A: Ratio analysis helps to analyze the financial statements of the company. The management can take…

Q: 3. Brett and Andy applied for the same credit card from the same bank. The bank checked both of…

A: The disbursement made each year by the borrower to the lender that is associated with the borrowings…

Q: On January 1, 2009, Delta Company issued its P10,000,000 face amount, 10% bonds to yield 8% per…

A: The carrying value of Bond Liability on January 1, 2009 will be the issue price of Bonds. The…

Q: An entity reports the following transactions for the 2021 tax year. The trustee accumulates all…

A: It is the amount payable by the tax payer to the government on his annual earned income. This annual…

Q: Raymond Ryans purchased a 50-year-old flat in Melbourne on 15 September 2010 for $350,000 which he…

A: Introduction: When you sell an investment portfolio and its value rises, you get a capital gain.…

Q: Jay Company plans to dispose of a group of net assets that form part of a disposal group. The net…

A: As per provisons of PFRS on the assets held for sale. A asset or a disposal group can be classified…

Q: Manama Manufacturing has $170,000 to invest in either Project A or Project B. The following data are…

A: Net present value refers to the concept of determining the current total value of expected future…

Q: £900. There are two bidders. The dealer believes that there are only three possible values, £7,200,…

A: Bidders are buyers in a group, who are willing to purchase the commodity for which they bid…

Q: 10- Kingeade Corporation keeps careful track of the time required to fill orders. Data concerning a…

A: Formula used: Manufacturing cycle efficiency = Process time / Throughput time. Division of…

Q: tioh pertain to installment sales of Lapillus Variety Store: payment: 20% ment sales: P545, 000 in…

A: Unrealized Gross Profit: It is profit which is not earned but expected as per the market value of…

Q: A. Define transfer pricing and elaborate on FOUR (4) of its purposes.

A: Transfer pricing is the price which is to be calculated if there is any transaction between related…

Q: At August 31, Saladino Coffee has the following bank information: cash balance per bank Rp5.200.000,…

A: Bank reconciliation statement is prepared to compare the transactions recorded in the company's…

Q: Lorna, Aida, and Fe decided to liquidate their partnership on August 2pm 31, 2020. They have been…

A: Non cash assets means the assets other than cash and bank balances. Any amount received more or less…

Q: 3 Your boss informs you that s/he will be sending you overseas to negotiate a deal with a new…

A: Answer:- Negotiation meaning:- A negotiation is a strategic debate that aims to settle a problem in…

Q: Depreciation Stahmann Products paid $350,000 for a numerical controller during the last month of…

Q: You organize an 8-hour training for 5 hourly, local employees. The training is led by the manager…

A: Given: - Manager salary=$48,000 Assistant manager salary=$36,000 Training hour= 8 hours Material…

Q: On January 1, 2016, Indians Corporation bought a factory equipment for P924,000 salvage value was…

A: Introduction: Depreciation: Decreasing value of fixed assets over its useful life period called as…

Q: Rexford Company purchased a machine on January 1, 2017, for $57,600 cash. The machine has an…

A: The depreciation expense is charged on fixed assets as reduction in the value of fixed assets with…

Q: Calculate the machine's depreciation using the declining balance method: A company has purchases a…

A: Depreciation: Depreciation means the reduction in the value of an asset over the life of the assets…

Q: 1. Pepe is a Manager working at Ayala Malls Legazpi for Taxable year 2020. He had the following…

A: Since you have asked multiple questions, we will solve the first question for you. If you want any…

Q: Fischer, Inc.'s trial balance contains the following balances: Cash $371 Accounts Payable $268…

A: Introduction: Trial Balance: All the final ledger accounts balances are posted in Trial balance to…

Q: Describe how financial leverage can increase return on owners’ equity.

A: Financial leverage indicates the strategy used by the company to borrow funds at a lower cost as…

Q: 2. Mr. Reis has these daily balances on his credit card for his last billing period. full the…

A: For calculation of average daily balance take the sum of all balances of each day then divide the…

Q: month, Laredo Company sold 450 units for $25 each. During the month, fixed and variable costs were…

A: The contribution margin, or dollar contribution per unit, is the selling price per unit minus the…

Q: Briefly explain why a diversified company (such as a conglomerate) should use a project-specific…

A: There are many conglomerates that operate in feild of different segments and different sectors which…

Q: Arnel is a managing partner in a trading business. Part of his profit allocation is a bonus based on…

A: In Excess of P200,000 After Deducting Bonus means we have to calculate bonus on Percentage of Net…

Q: p. has entered into a lease arrangement with Foodie Ltd. in which it has agreed to lease an item of…

A: Explanation of Concept A lease is defined as the contract between two parties for use of an asset.…

Q: Cedie and Sarah are partners and together have equity of P150,000 in the partnership. Remy wishes to…

A: In the context of the given question, we are required to compute the contribution of the admitted…

Q: A manufacturing company, VMTC PLC, makes the product, blitz. Monthly sales for the first five months…

A: The budget is prepared to estimate the requirements for the future period.

Q: 1. An entity acquired all the share capital of a foreign entity at a consideration of 9 million…

A: Thanks for the Question: Bartleby's Guideline: “Since you have asked multiple question, we will…

Q: Prepare Journal entries? A. July 1, issued common stock for cash, $15,000 B. July 15, purchased…

A: Introduction: Journal entries are the foundation of excellent record-keeping. They are grouped into…

Q: 2. During the current year, Black Rose Inc. had an investment of P 200,000 that is expected to…

Q: joseph becomes bankrupt before the due date of his acceptance and David rece dividend of 40 per cent…

Q: Monte's Coffee Company purchased packaging equipment on January 5, 2014, for $90,000. The equipment…

A: Introduction: Depreciation: Decreasing value of fixed assets over its useful life period called as…

Q: On January 1, 2021, Small company leased a machine from Huge Company. The following information…

A: The lease liability in the books of the lessee on the reporting date is reported at the present…

Concept explainers

Balance of Payments

BOP is categorized into the following three components:

Question

Can you please help me

Two payments of $16,000 and $7,200 are due in 1 year and 2 years, respectively.
Calculate the two equal payments that would replace these payments, made in 9
months and in 4 years if money is worth 7.5% compounded quarterly.
$0.00
Round to the nearest cent
SAVE PROGRESS
f11
40
44
3
f10
► 11
S
1/4
P
1/2
+
{
>
[ C
SUBM
ENG
US
insert
3/4

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

SEE SOLUTION Check out a sample Q&A here

Step 1

Step 2

Step 3

Step 4

Step by step

Solved in 4 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.

Similar questions

If Bergen Air Systems takes out a $100,000 loan, with eight equal principal payments due over the next eight years, how much will be accounted for as a current portion of a noncurrent note payable each year?
How much would you invest today in order to receive $30,000 in each of the following (for further Instructions on present value In Excel, see Appendix C): A. 10 years at 9% B. 8 years at 12% C. 14 years at 15% D. 19 years at 18%
You put $600 in the bank for 3 years at 15%. A. If Interest Is added at the end of the year, how much will you have in the bank after one year? Calculate the amount you will have in the bank at the end of year two and continue to calculate all the way to the end of the third year. B. Use the future value of $1 table In Appendix B and verify that your answer is correct.
If you invest $15,000 today, how much will you have in (for further instructions on future value in Excel, see Appendix C): A. 20 years at 22% B. 12 years at 10% C. 5 years at 14% D. 2 years at 7%
P.nil Two payments of $8,000 and $2,400 are due in 1 year and 2 years, respectively. Calculate the two equal payments that would replace these payments, made in 9 months and in 4 years if money is worth 4.5% compounded quarterly.$0.00Round to the nearest cent
Two payments of $12,000 and & 3,400 are due in 1 year and 2 years, respectively. Calculate the two equal payments that would replace these paymemts, made in 9 months and in 4 years if money is worth 7% compounded quarterly.
Two payments of $11,000 and $4,300 are due in 1 year and 2 years, respectively. Calculate the two equal payments that would replace these payments, made in 9 months and in 4 years if money is worth 10.5% compounded quarterly.
i)A payment of$12,055is due in 2 year,$17,000is due in 4 years, and$8,400is due in 6 years. What single equivalent payment made today would replace the three original payments? Assume that money earns4.50%compounded monthly. Round to the nearest cent ii)A payment of$2,200is due in 2 years and$3,100is due in 4 years. These two original payments are to be rescheduled with a payment of$2,050in 1 year and the balance in 3 years. Calculate the payment required in 3 years for the rescheduled option. Assume that money earns5.5%compounded monthly. Round to the nearest cent iii) A payment of$26,000is due today. What three equal payments, one in 3 years, one in 5 years, and one in 7 years, would replace the original payment? Assume that money earns4.25%compounded quarterly. Round to the nearest cent [ i need 3 answer i will provided upvotes]
If money is worth 12% effective, what equal payment (x) at the end of 2 years and 4 yrs will equitably replace the obligations, P3,000 due in 3 yrs, and P5,000 due in 5 yrs. Both with interest at 10% compounded semi-annually
What equal payments in 2 years and 5 years would replace payments of $ 37,500 and $97, 500 in 7 years and 9 years, respectively? Assume money can earn 4.14% compounded semi- annually.
A series of year and payments extending over eight years are as follows: First Year : P11,085 Second Year: P23,819 Third Year: P30,911 Fourth-Eight Year: P40,000 Assuming money is worth 12.15% Compounded annually. Determine the ff: a.) Present Value of all payments. (Answer: 108,138.03) b.) Equivalent semi-annual payments. (Answer: 10,627.783) Note: Show the step by step solution. Don't use excel.
Determine the present value of 15 equal quarterly payments of P1,200 where the first payment starts at the end of 3 years and 6 months if money is worth 7% compounded quarterly.