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Scilla [17]
4 years ago
11

A few years ago, Simon Powell purchased a home for $155,000. Today, the home is worth $260,000. His remaining mortgage balance i

s $105,000. Assuming that Simon can borrow up to 70 percent of the market value, what is the maximum amount he can currently borrow against his home?
Business
1 answer:
lisov135 [29]4 years ago
7 0

Answer:

$77,000

Explanation:

In this scenario the present value of Simon's home is $250,000. It appreciated from purchase price of $155,000

Simon is allowed to borrow 70% of the market value.

Percentage of present value= 0.7 * 260,000

Percentage of present value= $182,000

But he has a mortgage balance of $105,000. This amount will be deducted from $182,000 to give the amount he can borrow

Amount he can borrow= 182,000- 105,000 = $77,000

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The correct answer is b. a quota .

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3 years ago
The Amazing Widget Company issues $539,000 of 7%, 10-year bonds at 104 on March 31, 2017. The bonds pay interest on March 31 and
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Answer:

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Based on the information given we were told that the Company issues the amount of $539,000 at 104 on March 31 2019 this means that the journal entry to record the issuance will includes a:

Debit to Cash for $560,560

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Answer:

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The creation of journal does not is not difficult, as it direct and easy to do without much explanation. I hope this information is helpful

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