3. Poe, Inc. had the following bank reconciliation at March 31, year 2: Balance per bank statement, 3/31/Y2 $46,500

Add deposit in transit 10,300

56,800

Less outstanding checks 12,600

Balance per books, 3/31/Y2 44,200

Data per bank for the month of April year 2 follow:

Deposits $58,400

Disbursements 49,700

All reconciling items at March 31, year 2, cleared the bank in April. Outstanding checks at April 30, year 2, totaled $7,000. There were no deposits in transit at April 30, year 2. What is the cash balance per books at April 30, year 2?

4. Bob Smith borrowed $200,000 on January 1, 2015. The interest rate of 8% is compounded semiannually to be repaid January 1, 2025. To repay this Bob wants to start making five equal annual deposits into fund that earns 6% annum on January 1, 2020.

What is the amount of the five annual deposits that Bob needs to make?

5. Timken Company issues a $1,500,000 bond at 10% for 10 years. The market interest rate is 9%.

a) What is the issue price of these bonds and the bond discount or premium? Assume semi-annual interest payments.

b) Assume that Timken uses the effective interest method to amortize the bond discount or premium for the semiannual interest payments, what is the interest expense and the amount of cash paid on the first interest payment?