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
Elza [17]
3 years ago
11

Azure Inc. assigns $4,000,000 of its accounts receivables as collateral for a $3 million loan with a bank. The bank assesses a 3

% finance charge on the loan amount and charges interest on the note at 7%. What would be the journal entry to record this transaction?
Business
1 answer:
Vlad1618 [11]3 years ago
8 0

Answer with its Explanation:

Step 1:

First of all record a loan of $3 million loan:

Dr Bank $3,000,000

Cr Loan      $3,000,000

Step 2:

Finance charge will be 3% on this loan amount:

Dr Finance Charge $3million *3% = $90,000

Cr                   Bank                                       $90,000

Step 3:

The interest on the note is 7% which is $70,000. So the journal entry would be:

Dr Interest Expense $70,000

Cr Interest payable                  $70,0000

You might be interested in
Human resources planning relevant to organizational productivity ​
IgorC [24]

Answer:

Human resources planning is relevant to organizational productivity because it allows a company to maintain and better target the right talent for longevity. It also enables managers to better train and develop the skills needed in the workforce.

Explanation:

Human Resource planning is the foundation of a company's workforce talent. Employees are what make or break a company.

5 0
3 years ago
How do (inter) governmental organisations, such as the International Energy Agency, project energy use and carbon emissions for
Ainat [17]

The International Energy Agency provides insights into energy use and carbon emissions for the future in the form of exploring different scenarios, which are not actual projections.

<h3 /><h3>What are the goals of the IEA?</h3>

The agency aims to disseminate information and support global efforts to transition from clean and renewable energy use, in order to reduce the impacts of non-renewable energy on the environment and climate.

Therefore, the IEA uses an approach to identify future trends on the sustainable energy transition, and is not really a tool for forecasting the future of global energy.

Find out more about renewable energy here:

brainly.com/question/2333811

#SPJ1

5 0
2 years ago
How many months will it take to pay off a $470 debt, with monthly payments of $20 at the end of each month, if the annual intere
amm1812

Answer:

28 month (approx)

Explanation:

Given

Present value = $470

Monthly Payment = $20

Interest Rate = 15% annual = 15% / 12 = 1.25% monthly

                                                             =0.0125

<h3>Present Value = PMT [\frac{1-(1+i)^{-n}}{i}] \\470 = 20 [\frac{1-(1+0.0125)^{-n}}{0.0125}]\\470/20 = [\frac{1-(1+0.0125)^{-n}}{0.0125}]\\23.5 \times 0.0125 =1-(1+0.0125)^{-n}\\1-0.29375= (1+0.0125)^{-n}\\0.70625 = (1+0.0125)^{-n}\\0.70625 =(1.0125)^{-n}\\0.70625= \frac{1}{(1.0125)^{n}}\\(1.0125)^{n}=1.4159292\\n=28(approx)</h3><h3 />
5 0
3 years ago
One major advantage of limited liability is that it:________.
Finger [1]

Answer: c. shields the personal assets of owners from liability claims.

Explanation:

An advantage of limited liability is that it shields the personal assets of owners from liability claims.

For a limited liability company, it should be noted that the liabilities of the members in the company for the debts that are incurred are limited only to the investment of the members. Personal assets are not affected if the company first into debt.

3 0
2 years ago
What percentage of the net income earned in the United States is generated by corporations? A. 28 percent B. 45 percent C. 60 pe
avanturin [10]
Answer would be %60.
7 0
3 years ago
Read 2 more answers
Other questions:
  • Which of the following is a more attractive place to do business? Multiple Choice A nation that lacks democratic institutions A
    11·1 answer
  • According to purchasing-power parity, if it took 58 Indian rupees to buy a dollar today, but it took 55 to buy it a year ago, th
    15·1 answer
  • Sonoma county passed a law making it legal to drive 65 mph on freeways inside the county. A state law limited all vehicles in th
    6·1 answer
  • You have been asked to help King Company make the necessary journal entry to record the purchase of office furniture for a $170
    11·1 answer
  • Assume that you finance a new car when you graduate. It will cost $120,000 and you will finance it with a 84 month contract havi
    11·1 answer
  • A company had interest expense of $7,800, income before interest expense and income taxes of $19,200, and net income of $9,600.
    5·1 answer
  • Following is the income statement information from Apollo Medical Devices.
    9·1 answer
  • During 2011, Gum Co. introduced a new product carrying a two- year warranty against defects.
    6·1 answer
  • How do employee benefits relate to disposable income
    11·1 answer
  • edna is the leading brain surgeon in the united states. she enters into a contract to perform a difficult brain operation on ben
    7·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!