INTERMEDIATE ACCOUNTING ACCESS
9th Edition
ISBN: 9781260790177
Author: SPICELAND
Publisher: MCGRAW-HILL CUSTOM PUBLISHING
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Textbook Question
Chapter 21, Problem 21.12E
Installment note; statement of cash flow effects
• LO21–3, LO21–6
National Food Services, Inc., borrowed $4 million from its local bank on January 1, 2018, and issued a 4-year installment note to be paid in four equal payments at the end of each year. The payments include interest at the rate of 10%. Installment payments are $1,261,881 annually.
Required:
What would be the amount(s) related to the note that National would report in its statement of cash flows for the year ended December 31, 2018?
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Chapter 21 Solutions
INTERMEDIATE ACCOUNTING ACCESS
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