1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
liq [111]
3 years ago
15

On March 1, 2018, Mandy Services issued a 5% long term notes payable for $18,000. It is payable over a 3 year term in $6,000 pri

ncipal installments on March 1 of each year, beginning March 1, 2019. Each yearly installment will include both principal repayment of $6,000 and interest payment for the preceding one year period. What is the amount of total cash payment that Mandy will make on March 1, 2019?A. 6450B. 18000C. 6000D. 6900
Business
1 answer:
Alenkinab [10]3 years ago
5 0

Answer:

D) $6,900

Explanation:

The first annual payment includes a $6,000 principal repayment + $900 interest (= $18,000 x 5%). Therefore the total amount of the cash payment will be $6,000 + $900 = $6,900.

The journal entry would be as follows:

March 1, 2019, first annual payment

  • Dr Interest Expense account 900
  • Dr Notes Payable Account 6,000
  • Cr Cash account 6,900
You might be interested in
Your company has a cost of capital equal to 10%. If the following projects are mutually exclusive, and you only have the informa
Elena-2011 [213]

Answer:

The project to accept is:

e. E

Explanation:

a) Data and Calculations:

Cost of capital = 10%

Mutually Exclusive Projects:

                            A       B        C        E

Payback (years)   1        5        2        5

IRR                    18%   20%    20%    12%

NPV (Millions) $40    $75    $35   $100

b) Project E should be preferred over all the other projects.  It has the highest net present value (NPV) and its internal rate of return (IRR) is above the company's cost of capital.  It surpasses projects A, B, and C in financial performance terms using time-value of money analysis.

8 0
3 years ago
Which of the following describe the reason(s) why maximization of intrinsic stock value benefits society?
Dafna1 [17]

Answer:

B. Workers prefer companies that minimize operating costs.

C. The owners of stock are society.

D. Successful companies attract more talent.

Explanation:

The intrinsic stock value does not need to reflect the market value of the company stock. However, the intrinsic stock reflects the company's lucrative aspect, something more intuitive that describes the company's operating. Therefore, a high intrinsic stock value reflects a company with great reputation.

A company with high intrinsic stock will surely attract more talent, as the talent pool is motivated by working in a reputable, efficient company. This kind of company is surely cost-effective in terms of operation too.

7 0
3 years ago
​If the superior's job with a particular employee during a performance appraisal is simply to sit and listen and then have open
igor_vitrenko [27]
I’m not sure about the first one (my best guess is B.) but the second one is A.
3 0
3 years ago
In order for money to work properly, there can be only a certain amount of it in
tino4ka555 [31]
A.limited supply hope that helps
8 0
3 years ago
Activity-based costing for a service business
shtirl [24]

Answer:

a. $56

b. $95

Explanation:

The computation is shown below:

a, The total monthly activity-based cost for Corner Cleaners Inc is

= $3.50 × 12 + $0.12 × 100 + $0.10 × 20

= $42 + $12 + $2

= $56

b  the total activity-based cost for Campbell’s visit i

= $8 × 1 + $25 × 3 + $4 × $3

= $8 + $75 + $12

= $95

Hence, the same should be considered and relevant

3 0
3 years ago
Other questions:
  • 25-Which of the following is the BEST indicator of the economic​ well-being of the average​ citizen?
    8·2 answers
  • Analyze if the investment in new equipment is profitable based on the information given below. Cost of new equipment $66,000 Yea
    9·1 answer
  • You are looking at an investment that has an effective annual rate of 14.3 percent. a. What is the effective semiannual return?
    5·1 answer
  • In 2029, instead of cashing in the bond for its then current value, you decide to hold the bond until it doubles in face value i
    7·1 answer
  • An example of a discretionary item in the federal budget is
    5·1 answer
  • Identifying cash flows (LO 1) Mighty Vita produces a wide range of herbal supplements sold nationwide through independent distri
    13·1 answer
  • In america today, what percentage of individuals between the ages of 14 and 17 are in school?
    15·1 answer
  • Which of the following is the most accurate description of a value network? A) a system of partnerships and alliances that a fir
    5·1 answer
  • Isaac Inc. began operations in January 2021. For some property sales, Isaac recognizes income in the period of sale for financia
    6·1 answer
  • Can you help me with compound inequalities <br><br>​
    11·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!