On March 1, 2020, LINGATONG Company has received a P10,000, two year note bearing interest at 12% per annum compounded annually. Principal and interest are payable in full at maturity on February 28, 2022. 35. What amount should LINGATONG report as accrued interest receivable at December 31, 2021?

Q: On January 1, 2020, MP's customer issued a 3 year 8% note, PHP 3,000,000 for services billed to be…

A: Carrying amount is also known as carrying value or book value. The carrying amount of a note issued…

Q: On January 1, 2020 West Co. exchanged equipment for an $800,000 non-interest-bearing note due on…

A: The income statement is prepared to record all the revenues and expenses of the current period and…

Q: On January 1, 2020, Granada Company had an overdue 10% note payable to First Bank at P8,000,000 and…

A: Annual Interest Payments (P6000000 x 12%) = P720000 Note Payable at the end of 4th year on Dec 31,…

Q: On August 1, 2020, PHINEAS Company borrowed P9,000,000 from a lender, which is to be paid on January…

A: When the loan is borrowed from the lender, the interest charge on the loan or the borrowed…

Q: On July 1, 2017, Moon Company issued a five-year note payable with a face amount of P7,000,000 and…

A: With respect to the note, the current liabilities section of Moon‘s December 31, 2020 statement of…

Q: On July 1, 2017, Sun Company issued a five-year note payable with a face amount of P7,000,000 and an…

A: Calculation of the amount to be included in current liabilities section::: With respect to the note,…

Q: Wildhorse Co. issued a five-year interest-bearing note payable for $324000 on January 1, 2019. Each…

A: Balance sheet is the financial statement which involves the total debt, liabilities, assets and…

Q: On March 1, 2017, Fun Company borrowed 1, 000,000 and signed a 2-year note bearing interest at 12%…

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

Q: On February 10, 2021, after issuance of its financial statements for 2020, Ikli Company entered into…

A: Current liabilities: Liabilities that have to be paid within one year or one operating cycle,…

Q: What amount should Jeba report as a liability for accrued interest at December 31, 2022?

A: The accrued liability would be calculated from 01st April 2021 to December 31, 2022. The accrued…

Q: On January 1, 2020, Company A issued 10% bearing note payable in ten semi-annual instalments every…

A: 1. Present value of the bonds = Present value of principal + Present value of interest payments =…

Q: On December 31, 2020, Sack Port Ventures Inc. borrowed $103,000 by signing a four-year, 8.0%…

A: The note payable is liability for the business. The amount on note payable due in one year is…

Q: On January 1, 2020, Company A issued 18% bearing note payable in ten semi-annual instalments every…

A: Data given: Issue at       01/01/2020 Interest rate = 18% (semi-annually ) = 18%/2= 9% Face value =…

Q: On June 30, 2019, BM Corporation issued a five-year note payable with a face amount of P1,000,000…

A: Accrued interest on December 31,2020 = (face value of note -  annual payment made on June 30, 2020)…

Q: On July 1, 2020, KOLA Corporation issued a five-year note payable with a face value of ₱250,000 and…

A: Accrued Interest ( From July 1 to December 31 ) = ₱250,000 x 10% x 612 = ₱12,500

Q: On January 1, 2020, Heritage Company has a note payable to bank in the amount 2,800,000.…

A: Notes payable refers to a written promise to pay a certain amount of money in the future to the…

Q: On January 1, 2020, Jackie Company issued a note with a face amount of P5,000,000. The note carried…

A: When a creditor defaults in the payments of principal as well as interest, then debtor allows him to…

Q: RED Corporation

A: Current liabilities square measure a company's short-run money obligations that square measure due…

Q: On January 1, 2020, Jackie Company issued a note with a face amount of P5,000,000. The note carried…

A: solution

Q: Sammy Company, a calendar-year company, has a 6% note receivable dated November 1, 2020 in the…

A: Answer) In the given question, the company had note receivable of P 3,000,000 on November 1, 2020…

Q: On July 1, 2020, KOLA Corporation issued a five-year note payable with a face value of ₱250,000 and…

A: Current liabilities represent the obligation that has to be paid within a year.

Q: On January 1. 2020, Sheridan Company, a calendar-year company, issued S608000 of notes payable, of…

A: A current liability is an obligation which needs to be settled within a period of 12 months and any…

Q: On April 1, 2020, ABC Corporation borrows $50,000 on a 6-month note that charges an annual interest…

A: Total cash paid on maturity = Face value of the Notes + Interest on Notes where, Interest on Notes =…

Q: a seven-year note for $2800.00 issued on october 1,2015, with interest at 5.7% compounded annually…

A: Given that, Present Value of the note(PV)=$2800 Rate of interest(i)=5.7% or 0.057 Duration of the…

Q: On January 1, 2020, Jackie Company issued a note with a face amount of P5,000,000. The note carried…

A: SOLUTION-   WORKING NOTES- 1- COMPUTATION OF FAIR VALUE OF NOTE AFTER MODIFICATION OF TERMS UNDER…

Q: On January 1, 2020, Pharoah Company, a calendar-year company, issued $2160000 of notes payable, of…

A:

Q: On January 1, 2020, a company issued a $30,000 three-year, 4% note payable, repayable in 12…

A: Notes Payable The purpose of taking the Notes payable to the firm to generate adequate liquidity in…

Q: PINK Company reported a 10% note payable of ₱3,600,000 on June 30, 2021. The note is dated October…

A: Given that, Notes payable = ₱3600000 Rate of interest = 10% it is said that the Principle is repaid…

Q: On January 1, 2020, Jackie Company issued a note with a face amount of P5,000,000. The note carried…

A: Working note: Computation of carrying amount of note payable on June 30, 2022:

Q: On September 1, 2020, Pot Co. issued a note payable to National Bank in the amount of P1,800,000,…

A: solution : given note issue date       =September 1 2020 amount (face value )         =1,800,000…

Q: Suicune Bank granted a P5,000,000 loan to Raikou Company on January 1, 2020. The annual interest on…

A: Effective Interest Rate- The effective rate of interest is the interest rate that can be paid or…

Q: A 5-year promissory note for $B200 issued on September 15, 2018, with interest at 6.5% compounded…

A: FORMULA FOR PROMISSORY NOTE: P=M1+RT M=MATURITY VALUE RRATE T=TIME

Q: On September 1, 2020, Sunland Company issued a note payable to Fidelity Bank in the amount of…

A: Principal outstanding on December 31,  2021 = Total amount of Notes payable - Instalment payment…

Q: On December 31, 2020, Olaer Company received two P5,000,000 notes receivable from customers in…

A: financial statement is statement that shows the company financial information of company activities…

Q: On May 1, 2018, the DCM issued a 9% promissory note with a face value of ₱8,339,760 for a piece of…

A: Formula: Maturity value of note = Principal amount + Interest amount.

Q: On March 31, 2020, Company A issued 18% bearing note payable in ten semi-annual instalments every…

A: It is pertinent to note that the carrying value of the note is the present value of all the cash…

Q: 31,2021 ( interest is payable annually)    b.) 12%,P 2,500,000, interest bearing note , issuance…

A: Current liabilities is short term financial obligation which is required to be paid or due in one…

Q: On September 1, 2019, Silang Trading issued a note payable to Far East Bank in the amount of…

A: Accrued interest on the note = Face value of the note x rate of interest x no. of months/12

Q: At the beginning of 2020, Leira Corporation issued 10% bonds with a face value of P 1,500,000. These…

A: Working:

Q: 2024. Scenario B: The terms of the note were modified on June 30, 2022. The principal is reduced by…

A: Computation of amount of liability after modification of terms:

Q: Milton Company borrowed $95,000 on January 1, 2020, by signing a 6% promissory note. The note is to…

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

Q: On January 1, 2021. This Company acquired a machine by issuing a 3-year, 3%, P4,000,000 note…

A: As per IFRS 9, a Financial instrument, the financial liability is initially recognized at amortized…

Q: ecember 31, 2024. Scenario B: The terms of the note were modified on June 30, 2022. The principal…

A: Working note: Computation of carrying value of note payable on June 30, 2022 before modification of…

Q: Pam Company borrowed $75,000 on June 1, 2020, by issuing an 11-month, 8% interest-bearing note. The…

A: The note was issued for 11 month on June 1,2020.

Q: On June 1, 2023, Lugaw Corp. issued a three-year interest-bearing note payable in installment in…

A: Installment note are long term liabilities. And carry interest to be paid with specific point of…

Q: On March 1, 2024, Lewis Services issued a 10% long - term notes payable for $24,000. It is payable…

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

Q: On January 1, 2021, Glanville Company sold goods to Otter Corporation. Otter signed an installment…

A: Sales revenue: The amount earned by selling goods or services is known as sales revenue. This is the…

Q: On July 1, 2020, ABC Company issued a five-year note payable with a face amount of P5,000,000 and an…

A: Balance sheet means where all assets , liabilities and capital is shown. Current liability means the…

Cost of Credit

The cost of credit is an extra amount that the borrower has to pay besides the loan amount. These credit charges may vary from loan to loan. The cost of credit includes interest charges, maintenance charges, and arrangement charges. Some of the costs are mandatorily collected by the lender based on the loan amount and tenure of the loan. The cost of credit is also called finance charges of the credit.