Life.com issued $10 million of commercial paper on April 1 on a nine-month note. Interest was discounted atissuance at a 6% discount rate. What is the effective interest rate on the commercial paper?

Q: On the last day of October, Wright Company borrows $120,000 on a bank note for 60 days at 11 percent…

A: This question is asking about the Journal entries for 31 October of issue of notes, 30 November of…

Q: The following note transactions occurred during the year for Towell Company: On Nov. 25, Towell…

A: Interest is an expense which is to be paid to the lender or creditor for making late payment for the…

Q: A 180-day, 12% interest bearing note receivable is sold to a bank without recourse after being held…

A: Note means an instrument acknowledging as debt due from one party to another party. It carry defined…

Q: On May 15, Maynard Co. Borrowed cash from texas bank by issuing a 60 day note with a face amount…

A: Notes payable is a negotiable instrument signed by the promisor who agreed to pay a certain amount…

Q: The following note transactions occurred during the year for Zuber Company: On November 25, Zuber…

A: Counting of days of accrual Porter's note From November 25 to December 31st = 5 +31 = 36 days  Bank…

Q: FDN Company received a four-month note receivable in the amount of P93,000,000 on September 1. The…

A: The accrued revenue is the revenue earned but not received yet. It is recorded as an asset in the…

Q: A company borrowed $10,000 by signing a 180-day promissory note at 11%. The maturity value of the…

A: Amount Borrowed =$ 10,000  Number of days = 180 Rate of Interest = 11% per annum = 11/12  % Maturity…

Q: On January 1, Year 1, Luzak Company issued a $47,000, 4-year, 9% installment note to McGee Bank. The…

A: Journal Entry: It is the first and foremost procedure in an accounting cycle. The transactions are…

Q: A $12,000 non-interest-bearing promissory note is discounted at 6% compounded monthly, three years…

A: Maturity amount (MV) = $12,000 Interest rate = 6% Monthly interest rate (r) = 6%/12 = 0.50% Period =…

Q: On June 8, Williams Company issued an $85,200, 9%, 120-day note payable to Brown Industries.…

A: Note payable is issued by the debtor as a. Promise note that he would make the payment on time with…

Q: During June, Vixen Company sells $850,000 in merchandise that has a one year warranty. Experience…

A: Journal entry: A journal entry is used to record day-to-day transactions of the business by debiting…

Q: ABC Company received a four-month note receivable in the amount of P74,000,000 on September 1. The…

A: Introduction: As per accrual concept any income or expenses shall be recognized only when they are…

Q: On May 15, Franklin Co. borrowed cash from Dakota Bank by issuing a 90-day note with a face amount…

A: (a) The issued note cannot be discounted. It is issued at face value. Therefore, the proceeds of the…

Q: Amenadiel Co. has an 8% note receivable dated June 30, year 1, in the original amount of 150,000.…

A: A written promise to receive a sum of money at the pre determined future date is referred to as note…

Q: Chemical Enterprises issues a note in the amount of $156,000 to a customer on January 1, 2018. Terms…

A: Introduction: Journals: Each and every business transactions are to be recorded in Journals.…

Q: On June 8, Williams Company issued an $73,207, 7%, 120-day note payable to Brown Industries.…

A: Formula: Interest amount = Principal amount x Interest rate x Time period.

Q: Cramer Company issued a $960,000, 5%, 90-day note receivable dated July 3. Calculate the maturity…

A: As per our protocol we provide solution to the one question only but you have asked two questions…

Q: On January 26, Nyree Co. borrowed cash from Conrad Bank by issuing a 45-day note with a face amount…

A: a. In this case, the note is not discounted. Hence, the proceeds amount of the note is equal to the…

Q: On April 1, Year 1, Halo Co. issued a $5,000 face value discount note to the Capri Bank. The note…

A: Formula: Discount amount = Face value amount x Discount rate

Q: b. Determine the proceeds of the note assuming th

A: Merchandise inventory refers to products purchased from suppliers by a distributor, wholesaler, or…

Q: On August 1, Batson Company issued a 60-day note with a face amount of $62,400 to Jergens Company…

A: a Proceeds of the notes=face value = $62400 (Answer)Explanation:Proceeds from notes payable means…

Q: SNK Corp. produces advertising videos. During the current year ending December 31, SNK received the…

A: As posted multiple sub parts we are answering only first three sub parts kindly repost the…

Q: On July 1, 2002, Riviera Manufacturing Co. issued a five-year note payable with a face amount of…

A: Current liabilities are the liabilities of an entity that will settle within a normal operating…

Q: Branch Corporation issued $12 million of commercial paper on March 1 on a nine-month note. Interest…

A: Record journal entry for issuance of commercial paper.

Q: At year end, Rei company issued a P2,000,000 face amount note payable in exchange for services…

A: Note payable ::::P2,000,000.... Interest expenses::2000000*3%*9/12 months=P45,000...... The compound…

Q: mobile Co issued a $58,904 60-day discounted note to Guaranty Bank the discount rate is 12% at…

A: Cash proceeds from issue of discount note = Amount of the note - discount = $58,904 -…

Q: Pickett Company received a 90 day, six percent note receivable for $20,000 on November 1. How much…

A: Note receivable amount = $20,000 Due period = 90 days Note received date = November 1

Q: On May 15, Maynard Co. borrowed cash from Texas Bank by issuing a 60-day note with a face amount of…

A:

Q: Norton Company received a 90-day, 6% note for $300,000, dated May 12 from a customer on account.…

A: Norton Company    A 90-day, 6% note for $300,000, dated May 12 from a customer on account   (A) the…

Q: TORR, Inc. issues a $500,000, 6%, six-year note on January 1, 20X1. If the monthly payment is…

A: A note is one of the debt instruments that is issued by companies in order to raise funds. Note…

Q: On January 1, 20X1, the company received a $10,000 three-year note bearing interest at 10% annually.…

A: Journal entry is a primary entry that records initially the financial transactions of the company.

Q: On January 1, MM Co. borrows $340,000 cash from a bank and in return signs an 8% installment note…

A: An installment note is an obligation or liability that requires the borrower to repay the principal…

Q: On July 8, Action Co. issued an $80,000, 6%, 90-day note payable to Scanlon Co. Assuming a 360-day…

A: The note is the liability on which a specific percentage of interest has to be paid over the…

Q: On January 1, Year 1, Luzak Company issued a $120,000, five-year, 6% installment note to McGee Bank.…

A:

Q: Slack Inc. borrowed $320,000 on April 1. The note requires interest at 12% and principal to be paid…

A: Accrual basis: Accrual basis is a method of accounting. In this method recording of revenues are…

Q: FDN Company received a four-month note receivable in the amount of P68,000,000 on September 1. The…

A: Accrued interest income will be calculated in proportion of time for an amount at a specified rate.…

Q: On August 1, Batson Company issued a 60-day note with a face amount of $91,800 to Jergens Company…

A: Answer: Note are issued at the face value or the discounted value. When price of the note is the…

Q: TORR, Inc. issues a $600,000, 9%, five-year note payable on January 1, 20X1. If the monthly payment…

A: Carrying value of note payable Liability note payable =$600000 on January 1 Add Finance cost…

Q: On June 8, Williams Company issued an $80,400, 7%, 120-day note payable to Brown Industries.…

A: Given: Face value = $80,400 Interest rate = 7% Days = 120

Q: Chang, Inc. issued a 3-month note in the amount of $360,000 on 12/01/17 with an annual rate of 5%.…

A: Accrued interest is $1,500. Computation of accrued interest: Excel spread sheet:

Q: the monthly payment is $5,800, what is the note's carrying value after the first month's payment is…

A: The original cost of an asset, as recorded in the books or balance sheet of a corporation, less the…

Q: On June 8, Williams Company issued an $92,400, 11%, 120-day note payable to Brown Industries.…

A: Solution: Maturity value of note is computed as principal amount of note plus interest amount till…

Q: On June 8, Williams Company issued an $80,000, 5%, 120-day note payable to Brown Industries.…

A: maturity value of the note = issue price + Interest accrued

Q: On June 8, Williams Company issued an $74,400, 7%, 120-day note payable to Brown Industries.…

A:

Q: On June 8, Alton Co. issued an $75,537, 7%, 120-day note payable to Seller Co. Assuming a 360-day…

A: Maturity value of the note = Principal + Interest = $75537+1763 = $77300

Q: ShadyTree Company issued a note receivable to a customer. The face value of the note was $12,000 at…

A: The question is based on the concept of Financial Accounting.

Q: Valley Designs issued a 90-day, 9% note for $96,000, dated April 19, to Bork Furniture Company on…

A: Notes receivable are made by Debtors as a promissory note that they will make the payment on due…