Answered step by step
Verified Expert Solution
Question
1 Approved Answer
What is the (quarterly) interest expense for Quarter 3 (Year One) if the interest rate is 8% for LTD and 5% for NP. What is
What is the (quarterly) interest expense for Quarter 3 (Year One) if the interest rate is 8% for LTD and 5% for NP.
What is the (quarterly) interest expense for Quarter 3 (Year One) if the interest rate is 8% for LTD and 5% for NP. Year 1 Year 2 Incremental Income Statements Q1 Q2 Q3 Q4 Q1 Net Sales Cost of Merchandise Sold Gross Profit on Sales Operating Expenses (note 1) Profit from Operations Other Income Interest Expense Income before Income Taxes Provision for Income Taxes Net Income Balance Sheet Current Assets Cash Accounts & notes rec. Allow for bad debts Inventory Prepaid and other Total current assets Property, plant & equip. Accumulated depr. Net Goodwill Other Assets Total Current Liabilities: Notes payable-bank Trade accounts payable Current portion-LTD Accrued taxes Other Total current liab. Long-Term Debt Stockholders' Equity: Common Stock Paid-in capital Retained earnings Stockholders' equity Total 17262 13134 4128 2991 1137 33 -108 1062 453 609 Q1 23799 18132 5667 3639 2028 39 -129 1938 831 1107 Q2 23595 18099 5496 3824 1672 36 -87 1621 691 930 Q3 20706 15267 5439 4190 1249 87 -150 1186 499 687 Q4 22947 17610 5337 4083 1254 36 -132 1158 456 702 Q1 1983 10356 -474 18165 24 30054 2502 -867 1635 1185 87 32961 1488 12855 -690 19104 51 32808 2817 -906 1911 1182 66 35967 1353 12798 -903 18936 87 32271 2901 -948 1953 1149 54 35427 1677 12285 -531 20133 60 33624 2859 -831 2028 1131 72 36855 2031 14256 -729 25926 24 41508 3018 -873 2145 1116 123 44892 1002 8601 639 897 1113 12252 5628 2334 9666 669 582 1023 14274 5499 1641 8649 882 912 1128 13212 5091 1563 8550 891 1176 1707 13887 5157 2400 14727 954 1383 1416 20880 5499 333 3165 11583 15081 32961 333 3171 12690 16194 35967 333 3171 13620 17124 35427 333 3171 14307 17811 36855 333 3171 15009 18513 44892 LTD and 5% for NP. Q2 Year 2 Q3 31239 24105 7134 4886 2248 183 -159 2272 901 1371 Q2 Q4 28689 22188 6501 5005 1496 189 -195 1490 563 927 Q3 25380 19308 6072 4684 1388 192 -414 1166 497 669 Q4 1794 17790 -939 29319 51 48015 3153 -918 2235 1098 72 51420 1197 16908 -1239 26286 90 43242 3231 -972 2259 1080 75 46656 960 16887 -633 25008 306 42528 3309 -1029 2280 1062 18 45888 3000 17178 618 852 1110 22758 8778 2700 11304 618 771 1680 17073 8772 2400 10245 612 690 2007 15954 8454 333 3171 16380 19884 51420 333 3171 17307 20811 46656 333 3171 17976 21480 45888Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started