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expeople1 [14]
3 years ago
15

Sheridan Company assigns $4570000 of its accounts receivables as collateral for a $2.94 million loan with a bank. The bank asses

ses a 2% 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:
ad-work [718]3 years ago
4 0

Answer and Explanation:

The journal entry to record the given transaction is shown below;

Cash $2,881,200

Interest Expense ($2,940,000 × 2%) $58,800

      To Notes Payable $2,940,000

(Being the cash and the interest expense is recorded)

Here the cash and interest expense is debited as it increased the asset and expenses while on the other hand the note payable is credited as it also increased the liabilities

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4 years ago
Mô tả phong cách quản trị của tiến sĩ Nguyễn Thắng - TGĐ tập đoàn Herbalife
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Based on the lesson and your research, how would you fund a four-year college degree? In two to three sentences, explain your ch
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3 years ago
Read 3 more answers
Unemployment is often called a lagging or trailing indicator because unemployment tends to rise some time after the economy begi
andrezito [222]

Answer:

B) firms reduce hours before laying off when the economy is in recession, and increase hours before hiring when the economy expands.

Explanation:

In the case when the output falls so the workers would not be laid off in a direct manner. In the first time the labor would be decreased so that the demand could be analyzed. The same would be happen in that case also where the growth picked up

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7 0
3 years ago
Suppose the rate of return on short-term government securities (perceived to be risk-free) is about 5%. Suppose also that the ex
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Answer:

The expected rate of return on the market portfolio is 14%.

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The expected rate of return on the market portfolio can be calculated using the following capital asset pricing model (CAPM) formula:

Er = Rf + B[E(Rm) - Rf] ...................... (1)

Where:

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B = Beta = 1

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Substituting the values into equation (1), we have:

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Er = 5 + 9

Er = 14%

Therefore, the expected rate of return on the market portfolio is 14%.

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3 years ago
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