Answer:
$1,490
Explanation:
Interest expense is tax deductible in the computation of after tax cost. Therefore, Jim will enjoy tax-induced saving on the $1,700 interest portion of his monthly house payment.
Tax saving on the interest payment is computed as follows:
$1,700 * 30% tax rate = $510.
Therefore, after-tax cost of Jim's house payment
= total monthly payment, less tax saving on interest
= $2,000 - $510
= $1,490.
Answer: $615,872.50
Explanation:
The amount the National Health Center will receive is the sum of the future values, 3 years from now, of the annual payments of the fines.
Future value of $100,000 paid 1 year from today:
= 100,000 * (1 + 3.5%)²
= $107,122.50
Future value of $250,000 paid 2 years from now:
= 250,000 * (1 + 3.5%)
= $258,750
Future value of $250,000 paid 3 years from today:
= $250,000
Total is:
= 107,122.50 + 258,750 + 250,000
= $615,872.50
.............................................................Budget Challenge?
Answer:
Debit: Accounts Payable $ 5,000
Credit: Merchandise Inventory $ 5,000
Explanation:
Credit note:
A credit note is a document issued by the supplier, when:
-
Supplies are returned or found to be deficient by the recipient -
- When goods supplied are returned by the recipient or goods/services supplied are found to be deficient by the recipient, the supplier should issue a Credit Note.
- The credit note serves the purpose of reducing the value of the original supply.
Preparing journal entries with respect the given situation.
Debit: Accounts Payable $ 5,000
Credit: Merchandise Inventory $ 5,000
