Question
Exercise 10-9 (Part Level Submission) On July 31, 2017, Pina Company engaged Minsk Tooling Company to construct a special-purpose piece of factory machinery. Construction was
Exercise 10-9 (Part Level Submission) On July 31, 2017, Pina Company engaged Minsk Tooling Company to construct a special-purpose piece of factory machinery. Construction was begun immediately and was completed on November 1, 2017. To help finance construction, on July 31 Pina issued a $278,400, 3-year, 12% note payable at Netherlands National Bank, on which interest is payable each July 31. $188,400 of the proceeds of the note was paid to Minsk on July 31. The remainder of the proceeds was temporarily invested in short-term marketable securities (trading securities) at 10% until November 1. On November 1, Pina made a final $90,000 payment to Minsk. Other than the note to Netherlands, Pinas only outstanding liability at December 31, 2017, is a $32,000, 8%, 6-year note payable, dated January 1, 2014, on which interest is payable each December 31.
Please make the answers clear and bold. Thank you so much for your help.
Exercise 10-9 (Part Level Submission) On July 31, 2017, Pina Company engaged Minsk Tooling Company to construct a special-purpose piece of factory machinery. Construction was begun immediately and was completed on November 1, 2017. To help inance construction, on luly 31 Pina issued a $278 4 3-year, 12% note payable at Netherlands National Bank on which Interest is payable each July 31 $188 400 of the proceeds of the note was paid to Minsk on lu y 31. The remainder of the proceeds was temporarily invested in short-term marketable securit es trading securities at 10% until November 1 On November i Pina made a final s o o payment to Minsk. Other than the note to Netherlands, Pina's only outstanding liability at December 31, 2017, is a $32,000, 8%, 6-year note payable, dated January 1, 2014, on which interest is payable each December 31. Calculate the interest revenue, weighted-average accumulated expenditures, avoidable interest, and total interest cost to be capitalized during 2017. Interest revenue Weighted-average accumulated expenditures Avoidable interest Interest capitalized
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