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
slavikrds [6]
4 years ago
10

Universal Travel Inc. borrowed $500,000 on November 1, 2013, and signed a 12-month note bearing interest at 6%. Interest is paya

ble in full at maturity on October 31, 2014. In connection with this note, Universal Travel Inc. should report interest payable at December 31, 2013, in the amount of:
A. $8,000.
B. $30,000.
C.$5,000.
D. $25,000.
Business
1 answer:
valentinak56 [21]4 years ago
6 0

Answer:

C.$5,000.

Explanation:

November 1, 2013

Amount of Loan = $500,000

As the Interest is payable at maturity, at December 31, 2013 only one month of interest expense is accrued, which is not paid, Following Journal entry will be passed tor record the interest expense.

Dr.  Interest Expense               $2,500

Cr.  Interest Payable on Note  $2,500

Interest Expense = $500,000 x 6% x 2/12 = $5,000

You might be interested in
The Coffee Collective's goal is to provide customers with a unique coffee drinking experience and a loyalty rewards program. In
lyudmila [28]

Answer:

b) perceived superior value

Explanation:

The coffee company is providing perceived superior value as it provides consumers with a unique coffee drinking experience and a loyalty rewards program. I hope my answer helps you

7 0
3 years ago
What is the difference between demand deposits and near money? Thanks!
GalinKa [24]

demand deposits - a deposit of money that can be withdrawn without prior notice

near money - assets that can readily be converted into cash, such as government bonds

just google the definitions and read about it

7 0
3 years ago
Jordan issued 10-year, 11% bonds with a par value of $110,000. Interest is paid semiannually. The market rate on the issue date
liubo4ka [24]

Answer:

$110,000 on maturity

Interest of $6,050 semiannually

Explanation:

Jordan will pay $110,000 at maturity date with 20 payments of  $6050 as interest

11% bonds at par value = $110,000

Interest paid = Semiannually

Market rate = 10%

At maturity, the par value will be paid as the par value of Jordan issued bonds is 110,000, therefore, Jordan will pay 110,000 on the maturity date.

As the bonds are issued for 10 years with semiannual payments that will be like 20 payments of $6,050 (110,000 x 10% x 6/12)

3 0
3 years ago
On December 31, 2020, Bonita Industries has $5960000 of short-term notes payable due on February 14, 2021. On January 10, 2019,
mina [271]

Answer:

$2,420,000

Explanation:

The computation of the current liabilities reported is shown below:

= Short term note payable due - liquidate value of short term note payable + additional cash used

= $5,960,000 - $5,080,000 + $1,540,000

= $2,420,000

First we take the difference of the short term note payable and then we added the additional cash used so that the amount of current liabilities could come

7 0
3 years ago
The growing demand for biofuels in the U.S. that has led to a growing supply of soybeans from Brazil is an example of all of the
Annette [7]

Answer:

Localized economics

Explanation:

Localized economics :

Localisation implies the grouping of a specific industry in a specific region, region or area. Localisation is identified with the regional division of work, that is, specialization by regions or areas.  

A specific town or district will in general have practical experience in the creation of a specific item.  

These are benefits for a firm got from the nearness of firms having a place with a similar industry in a region. Urbanization economies are those advantages acquired by a firm emerging from the size of a region and the decent variety of its economy.

5 0
3 years ago
Other questions:
  • Large firms with multiple offerings in a particular product category engage in _____ targeting strategies to obtain a bigger sha
    12·1 answer
  • The larger the mpc (marginal propensity to consume), the ______ the income-expenditure multiplier and the ______ the effect of a
    10·1 answer
  • Process A has fixed costs of $1000 and variable costs of $5 per unit. Process B has fixed costs of $500 and variable costs of $1
    8·1 answer
  • What might a small business owner do to make sure HR function was preformed?
    11·1 answer
  • Examples of humans depicted with the features of lions, bison, stags, or even plants suggests A. The existence of a religious li
    12·1 answer
  • The book value of a firm's equity is $100 million and its market value of equity is $200 million. The face value of its debt is
    9·1 answer
  • Problem 20: In the year 2001, product A was sold. for $300 per
    10·1 answer
  • A blue ocean strategy differs from a low-cost strategy in that A. the intent of a blue ocean strategy is not to be the absolute
    11·1 answer
  • Which of the following was not one of the types of entrepreneurs theorized by Arthur cole in the 1950s. The innovator, the calcu
    6·1 answer
  • Levine Inc., which produces a single product, has prepared the following standard cost sheet for one unit of the product.
    5·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!