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
KATRIN_1 [288]
3 years ago
6

On January 1, 2019, Moira, Inc. borrowed $100,000 on a 10-year 9% installment note payable to buy the Rosebud Motel. The terms o

f the note require 10 equal annual payments each December 31 for 10 years. The required journal entry to record the first payment on the note on December 31, 2019 would include a debit to Notes Payable in the amount of
Business
1 answer:
finlep [7]3 years ago
3 0

Answer:

$15,582

Explanation:

On this question, use the Time Value of Money Techniques to find the the Annual Instalment (PMT).The amount of annual installment can be calculated using a Financial Calculator as :

PV = $100,000

N = 10

I = 9 %

FV = 0

P/YR = 1

PMT = ?

Entering the data as shown in a financial calculator gives an annual instalment (PMT) of $15,582.

The payment journal would be :

Note Payable $15,582 (debit)

Cash $15,582 (credit)

Thus, this would be a debit to Notes Payable in the amount of $15,582.

You might be interested in
A marketing company wants to estimate the proportion of consumers in a certain region of the country who would react favorably t
Sindrei [870]

The closest to the minimum number of consumers needed to obtain the estimate with the desired precision is (b) 271

Explanation:

When the prior estimate of population proportion is not given , then the formula to find the sample size is given by :-

n=0.25(\frac{z^{*} }{E} )^{2}

where E = Margin of error.

z* = Critical z-value.

As per given , we have

E = 5%=0.05

Confidence level = 90%

The critical value of z at 90% is 1.645  (By z-table)

Put all values in the formula , we get

n=0.25(1.645/0.05)²

n=0.25(32.9)²

n=270.6025≈271

Thus, the minimum sample size needed = 271

Hence , the correct answer is 271 .

8 0
3 years ago
Which of these items is a tax deduction?. a)cash awards. b)interest from bonds. c)interest on a home mortgage
wolverine [178]
C)interest on a home mortgage
5 0
3 years ago
Which skill would a public relations manager require the most?
yuradex [85]

i would say D C and maybe a but C makes the most since hope this helps

8 0
3 years ago
What theory argues that free trade is beneficial, but that differences in factor endowments, not productivity, determine the pat
Mice21 [21]

Answer:

The correct answer is letter "A": Heckscher-Ohlin.

Explanation:

Named after Swedish economists Eli Heckscher (1879-1952) and Bertil Ohlin (1899-1979), the Heckscher–Ohlin theory states that countries should focus their efforts on producing and exporting those goods they are good at manufacturing and they should import the goods they struggle in making. The concept is based on both the productivity and non-productivity of nations and their best bequests.

8 0
3 years ago
Problem 16-15 MM and Taxes [LO2] Meyer & Co. expects its EBIT to be $111,000 every year forever. The firm can borrow at 8 pe
Aleks04 [339]

Answer:

a) 12.87%

b) 11.03%

Explanation:

EBIT with no debt = $111,000

net income = $111,000 x (1 - 22%) = $86,580

total value of the firm with no debt = $86,580 / 12% = $721,500

value of the firm after debt is taken = $721,500 + ($165,000 x 22%) = $757,800

debt to equity ratio after debt is taken = $165,000 / ($757,800 - $165,000) = 27.834%

new cost of equity (Re) = 12% + [(12% - 8%) x 27.834% x (1 - 22%)] = 12.87%

WACC = (0.72166 x 12.87%) + (0.27834 x 8% x 0.78) = 9.288% + 1.737% = 11.025$ = 11.03%

4 0
3 years ago
Other questions:
  • Castle Company provides estimates for its uncollectible accounts. The allowance for uncollectible accounts had a credit balance
    6·1 answer
  • You are given the three dates shown below. if you add up the year in which each date occurred and the month in which each date o
    12·1 answer
  • On a public ballot, a state legislature places a question relating to legalization of marijuana for medicinal use. In addition,
    9·2 answers
  • The following costs result from the production and sale of 4,900 drum sets manufactured by Tight Drums Company for the year ende
    8·1 answer
  • The liquidity preference model: a uses the demand and supply of money to determine the level of potential output. b uses the dem
    5·1 answer
  • Is debtors control a current asset, owners equity, income or current liability
    5·1 answer
  • An investor sells short 200 shares of ABC stock at $5.25 a share. He sells two put contracts (100 shares each) with a striking p
    10·1 answer
  • Describe a real or made up but realistic situation in which you would want to use revolving credit. (2-4 sentences)
    13·1 answer
  • Give an example of a requirements contract associ-<br> ated with school.
    15·1 answer
  • The first marketing law suggests that to be successful in the market, marketers need to?
    7·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!