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3 years ago

All financial statements:_________

Business

1 answer:

Anastasy [175]3 years ago

5 0

Answer:

a) help to evaluate what happened in the past.

Explanation:

The financial statement interprets the financial performance, profitability, position of the company. It involves the income statement, balance sheet, cash flow statement, etc through which the business could be analyzed in a better way

Also it helps to analyze and evaluate what is happened in the past

Therefore the option a is correct

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Baillie Power leased high-tech electronic equipment from Courtney Leasing on January 1, 2021. Courtney purchased the equipment f

Sholpan [36]

Answer:

Beginning Installment Interest Ending

1 144,605.00 20,000 0 124,605

2 124,605.00 20,000 3,738.15 108,343

3 108,343.15 20,000 3,250.29 91,593

4 91,593.44 20,000 2,747.80 74,341

5 74,341.25 20,000 2,230.24 56,571

6 56,571.48 20,000 1,697.14 38,269

7 38,268.63 20,000 1,148.06 19,417

8 19,416.69 20,000 582.50 0

Journal entries:

Cash 20,000 debit

lease receivables 124,605 debit

Lease Equipment 144,605 credit

--Jan 1st

cash 20,000 debit

interest revenue 3,738.15 credit

--March 31st

cash 20,000 debit

interest revenue 3,250.29 credit

lease receivables 16749.71 credit

--June 30th

cash 20,000 debit

interest revenue 2,747.80 credit

lease receivables 17252.20 credit

--Sep 30th

cash 20,000 debit

interest revenue 2,230.24 credit

lease receivables 17,769.76 credit

--Dec 31st

Explanation:

Present value of the lease payment:

$C \times \frac{1-(1+r)^{-time} }{rate} = PV\\$

C 20,000

time 8 (eight quarters)

rate 0.03 (12% annual --> divided among four quarters = 3%)

$20000 \times \frac{1-(1+0.03)^{-8} }{0.03} = PV\\$

PV $144,605.6591

We build the table starting from the present value. Then, we subtract hte installment and in the second period we start doing interest calculations

(not in the firt one as it is being paid in the present thus, no interest accrued)

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3 years ago

Razor scooters had to issue a recall because the bolts created to connect the t-handle bars of the scooter with the board were t

Effectus [21]

A restatement section 402 defect in design.

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3 years ago

Moss County Bank agrees to lend the Cullumber Company $695000 on January 1. Cullumber Company signs a $695000, 6%, 9-month note.

DiKsa [7]

Answer:

The interest on notes is calculated as follows

Interest payable = Face value of bonds * Interest rate * (Time of maturity / 12 months)

= $695,000 * 6% * 9/12

=$31,275

Cullumber company will pay the face value of the notes as the notes are payable at par, along with interest rate of 6% for the period of 9 months. This will result in outflow of cash, thereby crediting cash account. The liability on account of notes payable and interest payable will be settles, thereby debiting the payable account

General Entry

Date Account Title and Explanation Debit Credit

30 Sep. Notes payable $695,000

Interest payable $31,275

Cash $726,275

(To record the amount to be paid at maturity)

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3 years ago

Your lease calls for payments of $500 at the end of each month for the next 12 months. Now your landlord offers you a new 1-year

Mamont248 [21]

Answer:

Change in Net worth= $133.62

Explanation:

The two lease options require that the leasee ( the tenant) commit himself to pay a series of equal amount of rent installment at the different time period in the future.

These series of equal periodic cash flows occurring in the future are called annuities.

To have a meaningful comparison, the two annuities should be compared based on their present values. So we compute the present value of the two using the formula below:

Present Value (PV) =( A × (1- (1+r)^(-n))/r

Option 1:Current lease

PV = 500 × 1-(1+0.05)^(12)

= 500 × 8.863251636

= $4,431.62

Option 2: New Offer

This will be done in two steps:

PV of lease in year 3

PV =700 × (1-(1+0.05)^(-9))

= 700 × 7.107821676

=4,975.47

PV of lease in year 0

PV = FV × (1+r)^(-3)

=4,975.47 × 0.8638

=$4,298.00

My net worth would change by the amount of the difference between the two PV of the two annuities:

Difference in PV = $4,431.62-$4,298.00

Change in Net worth= $133.62

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What can you do to figure out how much you can afford when buying a car?

GuDViN [60]

You can check your credit and you can us it for the car u want ,

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