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
IgorLugansk [536]
3 years ago
9

On January 1, 2021, Stoops Entertainment purchases a building for $610,000, paying $110,000 down and borrowing the remaining $50

0,000, signing a 9%, 15-year mortgage. Installment payments of $5,071.33 are due at the end of each month, with the first payment due on January 31, 2021.
a. Record the first monthly morgage payment on January 31, 2020.
Business
1 answer:
yawa3891 [41]3 years ago
5 0

Answer:

January 31

Interest expense 3750(Dr.)

Notes payable 1321.33(Dr.)

Cash 5071.33(Cr.)

Explanation:

Purchase price = $610,000

Down payment = $110,000

Borrowing = $500,000

Period = 15 years

Rate = 9%

Installment Payment per month = $5,071.33

With first payment due on January 31, 2020;

Mortgage amount or carrying value = $500,000

Interest = 0.09 × (1/12) × 500,000 = $3,750

Monthly payment = $5,071.33

Decrease in carrying value or mortgage amount = $5071.33 - $3750 = $1321.33

January 31

Interest expense 3750(Dr.)

Notes payable 1321.33(Dr.)

Cash 5071.33(Cr.)

You might be interested in
Suzanne's Cleaners is considering a project that has the following cash flow data. What is the project's payback?
natima [27]

Answer:

The payback period is E. 3.52 years

Explanation:

The payback period is the time taken for an investments cash inflows to cover the initial outlay or initial cost of the project. The payback period tells how much time the project will require to cover its initial cost.

The initial cost of the project is  $1100

By the end of Year 3, the project will recover = 300 + 310 + 320 = 930

The remaining amount to recover initial cost = 1100 - 930 = 170

Assuming that the cash flows occur evenly though out the years, the payback period will be = 3 + (170 / 330) * 10 = 3.515 rounded off 3.52 years

3 0
4 years ago
Suppose the spot and three-month forward rates for the yen are ¥102.21 and ¥101.18, respectively.a. Is the yen expected to get s
tresset_1 [31]

Answer:

a.

The yen is expected to get stronger in three-month time.

It is because it is taking up to ¥102.21 to exchange for $1 at spot, while in three-month time, it is expected that it will only take ¥101.18 to exchange for $1.

b.

Applying relative purchasing power parity, we have:

USD is expected to depreciate 3% against Japan Yen, calculated as: 102.21 / 101.18 - 1 = 3%.

Thus, inflation rates of the United States is estimated to be 3% higher than inflation rates of the Japan.

Explanation:

3 0
3 years ago
HELP TAKING TEST!! Suppose you are a treatment specialist and desire additional training and certification. What would the best
natulia [17]
The answer is crisis certification
3 0
3 years ago
Andy has a remaining balance of $845 on his credit card. His credit card company has an APR of 18 percent. How much will Andy pa
anyanavicka [17]
Hey there,

Your question states: <span>Andy has a remaining balance of $845 on his credit card. His credit card company has an APR of 18 percent. How much will Andy pay in interest for one month?

</span>1.5% of 845 is 12.675

So by round this above, your correct answer would be <span>12.68

Hope this helps</span>
5 0
3 years ago
Imagine you are the marketing manager for a U.S. manufacturer of disposable diapers. Your firm is considering entering the Brazi
Radda [10]

Answer:

1) The firm should not use the same advertisements in the U.S. and Brazil because culture plays an important role in advertising, and the cultures of both countries are very different. Something that is culturally acceptable in the U.S. might no be so in Brazil and viceversa, and advertisements usually make use of cultural references to build rapport with the potential customers.

When determining the local prices in Brazil, management should take advice from local managers but it should still try to determine the final prices only after doing extensive market research.

2) I do not agree. On the contrary, it is likely that we will see a trend toward increasing product customization. This is because more countries are becoming wealthier (for example, China and India), and as a consquence, people now have more disposable income than before, and can be more demanding when it comes to the products they buy.

3) Depending on the country, the job experience for expatriates can be very difficult. Language is probably the most common hardship, if the expatriate does not speak well the language of the host country, then he will likely have a very hard time in the workplace.

Cultural shock, lack of personal relationships, and a general lack of knowledge about how things work can also cause problems.

Companies should train employees before they are sent abroad. They should try to send employees who speak the language of the country if possible, and if not, help them learn a few basics at least. Companies should also instruct their employees about the general culture, geography, laws, and customs present in the country of destination.

5 0
3 years ago
Other questions:
  • The next wave of marketable innovations may involve new ways to produce and conserve energy. If we can turn new technology into
    8·1 answer
  • One way businesses can solve ethical dilemmas is through:
    12·1 answer
  • Erin promises to pay her friend Stephanie$10,000 if Stephanie refrains from eating any foods that contain animal products. Steph
    13·2 answers
  • The Anderson Company has equal amounts of low-risk, average-risk, and high-risk projects. The firm's overall WACC is 12%. The CF
    9·1 answer
  • Consider a no-load mutual fund with $580 million in assets and 20 million shares at the start of the year and with $630 million
    10·1 answer
  • What type of software can record each sale at the cash register?
    13·1 answer
  • The basic purpose of a performance appraisal system is to ________.
    10·1 answer
  • Racing Motors wants to save $825,000 to buy some new equipment three years from now. The plan is to set aside an equal amount of
    12·1 answer
  • Income statement
    14·1 answer
  • chegg What are some very important things to monitor concerning your retirement plan, both before and after retirement
    14·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!