Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

can you help me part a-d a. C. Present value calculations Using a present value table, your calculator, or a com- puter program present value

can you help me part a-d
image text in transcribed
a. C. Present value calculations Using a present value table, your calculator, or a com- puter program present value function, answer the following questions: Required: What is the present value of nine annual cash payments of $58,000, to be paid at the end of each year using an interest rate of 6%? ho b. What is the present value of $175,000 to be paid at the end of 20 years, using an interest rate of 18%? How much cash must be deposited in a savings account as a single amount in order to accumulate $1,600,000 at the end of 12 years, assuming that the accoun will earn 10% interest? d. How much cash must be deposited in a savings account (as a single amount) in order to accumulate $620,000 at the end of seven years, assuming that the account will earn 12% interest? Assume that a machine was purchased for $210,000. Cash of $40,000 was paid and a four-year, 8% note payable was signed for the balance. 1. Use the horizontal model, or write the journal entry, to show the purchase the machine as described. 2. How much is the equal annual payment of principal and interest due at the end of each year? Round your answer to the nearest $1. 3. What is the total amount of interest expense that will be reported over the life of the note? Round your answer to the nearest $1. Use the horizontal model, or write the journal entries, to show the equal annual payments of principal and interest due at the end of each year

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Effective Writing A For Accountants

Authors: Claire B. May, Gordon S. May

9th Edition

0132567245, 9780132567244

More Books

Students also viewed these Accounting questions