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Answer:
the monthly payment column represents the principal and interest payment for each $1,000 you borrow. For example, if you borrow $100,000 for 30 years at 4.25%, your monthly payment per $1,000 borrowed would be $4.92. Multiply that factor (4.92) by 100 (100,000/1,000) to estimate your monthly payment of $492.00.
Answer:
c. is considered to be a reduction in the cost of borrowing.
Explanation:
The premium on bond payable arise when the bond payable is issued more than the face value. It is a liability account consist of the credit balance that is presented on the liability side of the balance sheet
Moreover, it is deducted in the borrowing cost and amortized as an interest expense to the bonds life. It is added to the bond payable
Hence, the correct answer is c.
Answer: $14,985
Explanation:
Using the Units-of-Production method means that the asset is depreciated based on how many times it is used.
The formula is;
= ( Cost - Salvage Value)/Total Usage
= (67,600 - 1,000) / 200
= $333 per concert
Equipment depreciates by $333 per concert.
First year has 45 concerts;
= 333 * 45
= $14,985
Answer:
What would be the impact on January 1, 2015, the date of the sale?
The following journal entries should be made to register the sale:
January 1, 2015: 2 cars are sold
- Dr Cost of Goods Sold 37,000
- Cr Merchandise Inventory 37,000
- Dr Accounts Receivable 50,000
- Cr Sales Revenue 50,000
On January 30, 2015 Outback Subaru Limited received payment in full from the town for the cars. What would be the impact of this transaction on this date?
The following journal entry should be made to register the payment:
January 30, 2015: the local government paid the cars
- Dr Cash 50,000
- Cr Accounts Receivable 50,000
