On January 1, 2015. Oxford Company finished consultation services and accepted in exchange a promissory note with a face value of $500,000 and a due date of December 31, 2017. The stated rate of interest is 10% with interest receivable at the end of each year through 12/31/17. Assume an effective interest rate of 5% is implicit in the agreed upon price. The effective amortization method is used Oxford's journal entry on 1/1/15 will record approximately what amount of service revenue? Select one: O a. $500,000 Ob $450,000 O c. $562,171 Od: $437.829 O e. $568,081 On January 1, 2015, Oxford Company finished consultation services and accepted in exchange a promissory note with a face value of $600,000 and a due date of December 31, 2017. The stated rate of interest is 5% with interest receivable at the end of each year through 12/31/17. Assume an effective interest rate of 10% is implicit in the agreed-upon price. The effective amortization method is used, The 12/31/16 balance of the Discount on Note Receivable account will be Select one a. $34.710 O b. $27.269 O c $52,063 O d. $22,063 O e. $24,867 FE w S Starting 1/1/14 and continuing each January 1 for four additional years, Case Corporation will deposit $10,000 in an account that will initially earn interest at a rate of 5% credited each year on December 31. After the last deposit is made on 1/1/18, the account will earn 10% interest. What will be the approximate amount of the investment fund on December 31, 2020? Select one: O a. $ 66,860 O b. $60,782 O c. $67,012 O d. $70,363 O e. 573,546 Sharon Walsh has developed an educational software package. She agrees to sell the patent to Pensca for five annual payments of $50,000 each. The payments are to begin three years from today. Given an annual rate of 8%, what is the approximate present value of the five payments? Select one: O a. $199,635 O b. $184,848 O c. $158,477 O d. 5171.155 O e. $369,511 The use of a Sales Discounts Forfeited account implies that the recorded amount of Sales Revenue is: Select one: O a. Retail price O b. Retail price plus the sales discount amount, when taken O c. Retail price plus the sales discount amount whether or not taken O d. Retail price less the sales discount allowable, when taken O e. Retail price less the sales discount allowable, whether or not taken On January 1, 2015. Oxford Company finished consultation services and accepted in exchange a promissory note with a face value of $500,000 and a due date of December 31, 2017. The stated rate of interest is 10% with interest receivable at the end of each year through 12/31/17. Assume an effective interest rate of 5% is implicit in the agreed upon price. The effective amortization method is used Oxford's journal entry on 1/1/15 will record approximately what amount of service revenue? Select one: O a. $500,000 Ob $450,000 O c. $562,171 Od: $437.829 O e. $568,081 On January 1, 2015, Oxford Company finished consultation services and accepted in exchange a promissory note with a face value of $600,000 and a due date of December 31, 2017. The stated rate of interest is 5% with interest receivable at the end of each year through 12/31/17. Assume an effective interest rate of 10% is implicit in the agreed-upon price. The effective amortization method is used, The 12/31/16 balance of the Discount on Note Receivable account will be Select one a. $34.710 O b. $27.269 O c $52,063 O d. $22,063 O e. $24,867 FE w S Starting 1/1/14 and continuing each January 1 for four additional years, Case Corporation will deposit $10,000 in an account that will initially earn interest at a rate of 5% credited each year on December 31. After the last deposit is made on 1/1/18, the account will earn 10% interest. What will be the approximate amount of the investment fund on December 31, 2020? Select one: O a. $ 66,860 O b. $60,782 O c. $67,012 O d. $70,363 O e. 573,546 Sharon Walsh has developed an educational software package. She agrees to sell the patent to Pensca for five annual payments of $50,000 each. The payments are to begin three years from today. Given an annual rate of 8%, what is the approximate present value of the five payments? Select one: O a. $199,635 O b. $184,848 O c. $158,477 O d. 5171.155 O e. $369,511 The use of a Sales Discounts Forfeited account implies that the recorded amount of Sales Revenue is: Select one: O a. Retail price O b. Retail price plus the sales discount amount, when taken O c. Retail price plus the sales discount amount whether or not taken O d. Retail price less the sales discount allowable, when taken O e. Retail price less the sales discount allowable, whether or not taken
