Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

How much cash interest will be paid on the bonds at each interest date? Cash INT. = par Value & IN x 2 Cast INT.

image text in transcribed
image text in transcribed
How much cash interest will be paid on the bonds at each interest date? Cash INT. = par Value & IN x 2 Cast INT. = 2,000,000x.06 x 9/12 Cash INT = 60,000 5 points How much did Auerbach receive from the bond issue on 10/1/2021? (Refer to the present value tables to compute your answer.) Round your answer to the nearest whole dollar, A, $2,014,080 B. $1,859,260 C. $1,857,884 D. Some other amount. F 6-7. 8 points total XYX Corp purchased a machine with a fair value of $650,000 on 12/31/2020. XYZ signed a 5-year installment note with the first payment of $158,259 due on 12/31/2021, with the remaining payments of $158,259 due each December 31, at an interest rate of 7 percent per year. Required: Complete the amortization table below for the first 2 payments. Round your answer to the nearest whole dollar. (On the online test, select the ending note payable balance after the first & second payments to answer questions 6 and 7.) Beginning Note Pavable Payment Amount Reduction of Interest Note Expense Payable Beginning amount Ending Note Payable 650,000 158,259.00 Payment #1 (12/31/21) 650.000.00 Payment #2 (12/31/22) 158,259.00 How much cash interest will be paid on the bonds at each interest date? Cash INT. = par Value & IN x 2 Cast INT. = 2,000,000x.06 x 9/12 Cash INT = 60,000 5 points How much did Auerbach receive from the bond issue on 10/1/2021? (Refer to the present value tables to compute your answer.) Round your answer to the nearest whole dollar, A, $2,014,080 B. $1,859,260 C. $1,857,884 D. Some other amount. F 6-7. 8 points total XYX Corp purchased a machine with a fair value of $650,000 on 12/31/2020. XYZ signed a 5-year installment note with the first payment of $158,259 due on 12/31/2021, with the remaining payments of $158,259 due each December 31, at an interest rate of 7 percent per year. Required: Complete the amortization table below for the first 2 payments. Round your answer to the nearest whole dollar. (On the online test, select the ending note payable balance after the first & second payments to answer questions 6 and 7.) Beginning Note Pavable Payment Amount Reduction of Interest Note Expense Payable Beginning amount Ending Note Payable 650,000 158,259.00 Payment #1 (12/31/21) 650.000.00 Payment #2 (12/31/22) 158,259.00

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_2

Step: 3

blur-text-image_3

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 Use Of Teams For IT Audits

Authors: Martin Krist

1st Edition

0849398282, 978-0849398285

More Books

Students also viewed these Accounting questions

Question

a sin(2x) x Let f(x)=2x+1 In(be)

Answered: 1 week ago

Question

3. Comment on how diversity and equality should be managed.

Answered: 1 week ago

Question

describe the legislation that addresses workplace equality

Answered: 1 week ago