You plan to borrow P10,000 from your bank, which offers to lend you the money at a 7.5% nominal rate on a one-year loan. What is the effective interest rate if the loan is a discount loan? * Format: 1.11%
Q: Remy opened her Tours4Fun business. During the first month, January, she completed the following tra...
A: Pencil footing the ledger means the total balance of both side of ledger. After pencil footing balan...
Q: The use of standard costs in pricing and budgeting is quite valuable since decisions in the fields ...
A: Standard cost is the cost which is predetermined and which is expected to be incurred during the yea...
Q: 00 for follow-up visits with his doctor. He also paid $550 for prescription medicine and $600 to a p...
A: Itemized deductions refer to the form of deduction or expense which is subtracted from the adjusted ...
Q: Grill's Floori Allowance f receivable cchedu Hule of
A: These are the accounting transactions that are having a monetary impact on the financial statement o...
Q: What is National's estimated annual usage in units? * Format: 1,111,111 National Co. has determined ...
A: Order size (Q) = 10,000 units Total order cost in year (TC) = P20,000 Cost per order (O) = P100
Q: The bookstore manager wants to determine the bookstore's optimal order quantity, given the foregoing...
A: Details Available Cost per Piece= 1900 Annual Requirement = 1700 pieces Carrying Cost = 25% of pu...
Q: Activity 1- ACCHT 221 - RECORDING TRANSACTIONS ; POSTING TO LEDGER AND PREPARATION OF TRIAL BALANCI ...
A:
Q: P company bought 60% of common stock of S company on January 1, 20x4. On January 1 20x5, there was a...
A: Net income means deducting all the expenses (Costs) allowances and taxes of an individual are known ...
Q: 16. What is the balance of the accounts receivable after pencil footing the ledger? 38,000 debit O 1...
A: Accounts Receivable It is a money due to a firm for goods or services delivered or used but not yet ...
Q: What type of variances are computed for materials, labour, and factory overhead
A: material variance = standard cost - actual cost of materials. types 1.Material Price Variance: MPV =...
Q: Many governments budget on the cash basis. Explain why a government would budget on a cash basis rat...
A: The cash basis is a major accounting method that recognizes revenues and expenses at the time cash i...
Q: Depreciation charged in costing books is ? 12,500 and in financial books is ? 11,200. What will be t...
A: Introduction: Depreciation: Decreasing value of fixed assets over its useful life period called as D...
Q: ABC Corporation’s liability account balances at June 30, 2018, included a 10% notes payable in the a...
A: What amount should be recorded as accrued interest for this note:- Accrued interest:- = outsta...
Q: • 4. Compute the present value and future value of P200 cash flow for the following combination of d...
A: Present Value Meaning Given a certain rate of return, present value (PV) is the current value of a f...
Q: Lukas Douglas' filing status is married filing separately, and he has earned gross pay of $2,100. Ea...
A: Earned gross pay = $2100 Contribution = 11% x 2100 = $231 Flexible pay spending = $80 Gross pay af...
Q: to conduct a marg inal cos nefits of the proposed ne
A: Answers a,b and c:
Q: What are: Relevant / irrelevant / Differential Costs Relevant / irrelevant / Differential Revenues...
A: Relevant / Irrelevant / Differential Costs: Relevant Costs are the cost which are relevant in decis...
Q: 10.Pirates PLC sells a line of goods under a six-month warranty. Any defect arising during that peri...
A: Provision is reserve which helps to cover the loss if an expected loss happen in future. The calcula...
Q: How can i influence Ownership Costs, Operating costs, Acquistion costs and why?
A: Assets: An asset is financial worth that an individual, company, or nation claims or controls with t...
Q: Shown below are the unit information and a summary of the costs charged to a production department o...
A: To ascertain the costs of finished goods and ending work-in-progress, we need to calculate the equiv...
Q: to the nearest integer.) More info Corporate Tax Rate Schedule Taxable income brackets Base tax $o t...
A: Marginal tax rate refers to the extra tax paid for every extra dollar gained by an entity.
Q: FIFO METHOD On 1 August L&T Co. had a balance in inventory of 120 units at AED14.25 per unit. The fo...
A: The cost of goods sold include the total cost of goods that are sold during the period. FIFO stands ...
Q: Interest versus dividend income Depot Logistics Inc. has declared pretax income from its operations ...
A: Since you have posted question with multiple sub-parts , we will do the first three sub-parts for yo...
Q: nearly $2.00 per share over the past 9 months. Loren indicated that she shared Dale's frustratio Nge...
A: Shareholders' wealth maximization should be the prime objective of the management over profit maximi...
Q: Partners A and B receive a salary allowance of $35,000 and $45,000, respectively, and share the rema...
A: Salary allowance : Partners A = $ 35000 Partners B = $ 45000 Share = Equally Company earned = $ 5000...
Q: Sales Operating income Invested capital $8,100,000 648,000 9,000,000 In an effort to make something ...
A: Return on Investment=Operating IncomeInvested Capital×100
Q: Journalize the following merchandise transactions, using the net method under a perpetual inventory ...
A: Merchandise Inventory: Products that a firm acquires with the intention of reselling to clients at a...
Q: The following events occurred in Fresh Cleaning Company in December 2021: (1) A customer has purchas...
A: The main objective of any set of accounting standards appears to be to ensure that a company's finan...
Q: Feather Friends, Incorporated, distributes a high-quality wooden birdhouse that sells for $20 per un...
A: Break even point = Fixed expenses / Contribution margin ratio where, Contribution margin ratio = Con...
Q: Precision Camera Services started the year with total assets of $120,000 and total liabilities of $4...
A: Stockholders' equity, also spelled shareholders' or shareholders' equity, is the amount of assets pa...
Q: *Computed on the basis of sales dollars. Since the start of development work on the Wireless Wizard,...
A: Unit contribution margin is the excess of the selling price per unit over variable cost per unit.
Q: The partnership of Chase and Chloe shares profits and losses in a 70:30 ratio respectively after Chl...
A: Remaining income allocation = Total income - Salaries
Q: Tanner and Teresa share income and losses in a 2:1 ratio (2/3 to Tanner and 1/3 to Teresa) after all...
A: Income and losses sharing ratio = 2:1 Salary allowance of Tanner = $ 45000 Salary allowance of Teres...
Q: Required: Prepare the company's budgeted income statement for the year.
A: Income statement refers to a statement which shows the revenue and expense of the company of a parti...
Q: What amount of loss should DEF accrue at December 31, 2021?
A: Contingent liability refers to those liability of a company which is occurred due to the result of a...
Q: 3. A certain office equipment has a first cost of P20,000 and a salvage value of P1,000 at the end o...
A: Since you have asked multiple question, we will solve the first question for you. If you want any ...
Q: The balance in ABC Company's accounts payable account at December 31, 2021, was P900,000, before any...
A: Accounts Payable: Accounting for accounts payable (AP) is the collection of money owed to vendors a...
Q: Molly Ellen, bookkeeper for Keystone Company, forgot to send in the payroll taxes due on April 15. S...
A: Penalty is the amount of interest paid for the delay in the payment in tax amount.
Q: 4. Which of the following statements are true regarding Donato's possible response to the ethical co...
A: Ethical Conflict- Ethical conflicts occur when persons are confronted with a conflict between univer...
Q: Rushton Corp., a wholesaler of music equipment, issued $11,000,000 of 20-year, 9% callable bonds on ...
A: >Bonds Payable are the source of finance for the companies. >The bondholders are entit...
Q: When an investment ceases to be an associate, the fair value of the investment at the date when it c...
A: When an investment ceases to be an Associate and is accounted for in accordance with IFRS 9. As per ...
Q: Kam Company purchased a machine on January 2, 2019, for $20,000. The machine had an expected life of...
A: The question is based on the concept of Depreciation Accounting. Depreciation is the reduction in th...
Q: For 2020, Ross Corporation had pretax ordinary income of $500,000 and sold for $150,000 an asset pur...
A: Tax Rate for Companies in US for FY 2020 is Flat 21 % Therefore Tax on ($500,000 +$25,000 ) = $525,0...
Q: Illustration 1. Measuring Goodwill/Gain on Bargain Purchase On January 1, 2021, Amahan Co. acquired ...
A: Business acquisition is an act of buying the business of another company either way full interest or...
Q: You are buying a machine with a down payment of $200,000 and annual payments of $40,000 per year for...
A: The present value of all cost is the net cost of all cost including the down payment and all cost an...
Q: (ii) The company has two deliver trucks and uses the units of production method to compute the depre...
A: Note: Hi! Thank you for the question, As per the honor code, we are allowed to answer three sub-part...
Q: e Collection period 21.9
A: Average collection period is the average time after which collections are being made by debtors.
Q: The following data refer to various annual costs relating to the inventory of a single-product compa...
A: Given that: Freight on Purchase = P0.20 Storage per unit = P0.12 Insurance per unit = P0.10 Alternat...
Q: QUESTION 9 Put the following steps in an Activity-Based-Costing system in the proper order. v Calcul...
A: Cost Accounting: Cost accounting is characterized as "a methodical arrangement of methodology for re...
Q: data below please complete a P&L Account Opening Stock - £800,000 Depreciation - ...
A: At first case the income statement is prepared to you know the net profit of the company. this show...
1
Step by step
Solved in 2 steps
- Calculating interest and APR of installment loan. Assuming that interest is the only finance charge, how much interest would be paid on a 5,000 installment loan to be repaid in 36 monthly installments of 166.10? What is the APR on this loan?Calculating and comparing add-on and simple interest loans. Eli Nelson is borrowing 10,000 for five years at 7 percent. Payments, which are made on a monthly basis, are determined using the add-on method. a. How much total interest will Eli pay on the loan if it is held for the full five-year term? b. What are Elis monthly payments? c. How much higher are the monthly payments under the add-on method than under the simple interest method?Calculating single-payment loan amount due at maturity. Stanley Price plans to borrow 8,000 for five years. The loan will be repaid with a single payment after five years, and the interest on the loan will be computed using the simple interest method at an annual rate of 6 percent. How much will Stanley have to pay in five years? How much will he have to pay at maturity if hes required to make annual interest payments at the end of each year?
- Cost of Bank Loan Mary Jones recently obtained an equipment loan from a local bank. The loan is for 15,000 with a nominal interest rate of 11%. However, this is an installment loan, so the bank also charges add-on interest. Mary must make monthly payments on the loan, and the loan is to be repaid in 1 year. What is the effective annual rate on the loan (assuming a 365-day year)?Use the tables in Appendix B to answer the following questions. A. If you would like to accumulate $2,500 over the next 4 years when the interest rate is 15%, how much do you need to deposit in the account? B. If you place $6,200 in a savings account, how much will you have at the end of 7 years with a 12% interest rate? C. You invest $8,000 per year for 10 years at 12% interest, how much will you have at the end of 10 years? D. You win the lottery and can either receive $750,000 as a lump sum or $50,000 per year for 20 years. Assuming you can earn 8% interest, which do you recommend and why?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.
- Use the tables in Appendix B to answer the following questions. A. If you would like to accumulate $4,200 over the next 6 years when the interest rate is 8%, how much do you need to deposit in the account? B. If you place $8,700 in a savings account, how much will you have at the end of 12 years with an interest rate of 8%? C. You invest $2,000 per year, at the end of the year, for 20 years at 10% interest. How much will you have at the end of 20 years? D. You win the lottery and can either receive $500,000 as a lump sum or $60,000 per year for 20 years. Assuming you can earn 3% interest, which do you recommend and why?You want to invest $8,000 at an annual Interest rate of 8% that compounds annually for 12 years. Which table will help you determine the value of your account at the end of 12 years? A. future value of one dollar ($1) B. present value of one dollar ($1) C. future value of an ordinary annuity D. present value of an ordinary annuityDel Hawley, owner of Hawleys Hardware, is negotiating with First City Bank for a 1-year loan of 50,000. First City has offered Hawley the alternatives listed here. Calculate the effective annual interest rate for each alternative. Which alternative has the lowest effective annual interest rate? a. A 12% annual rate on a simple interest loan, with no compensating balance required and interest due at the end of the year b. A 9% annual rate on a simple interest loan, with a 20% compensating balance required and interest due at the end of the year c. An 8.75% annual rate on a discounted loan, with a 15% compensating balance d. Interest figured as 8% of the 50,000 amount, payable at the end of the year, but with the loan amount repayable in monthly installments during the year