1. CM Company borrowed Php2 000 000 from a bank on June 30, 2015. The loan has an annual interest rate of 10% and the principal is payable at the end of every quarter amounting to Php250 000. The first quarterly payment will be on September 30, 2015. Prepare an amortization schedule for 2015 until the loan is fully paid on June 30, 2017.How much interest expense is incurred in 2015, 2016 and 2017 with respect to this loan? Page 4 of 6
Q: Joseph borrowed Php 5,000 on November 2, 2015 from Arthemus, which is to be repaid on May 21, 2016…
A: Simple interest is one of the easy method of calculation of interest amount. Simple interest is…
Q: How much of the Notes payable, net of discount, should be reported as part of current liabilities on…
A: Year Beginning Carrying value Installment paid Interest Expense Principal paid Ending carrying…
Q: Find the amount to be repaid. How much will the interest be at the repayment date if the following…
A: Information Provided: Amount borrowed = P5,000.00 Simple interest = 6.2% Amount borrowed on = Nov 2,…
Q: 1. A note of P 55,000 dated January 1, 2015 is due in 5 years and 6 months with interest at 9%…
A: A promissory note is a debt instrument that contains a written commitment by one party (the note's…
Q: he company will pay $2,000 per month to repay the loan. The bank will charge .75% est per month on…
A: In this we have to calculate present value FACTOR and from that we can get months required.
Q: DAMIPERA Corporation, a lending institution, provided a loan to LAPERA Company for Php5,000,000 on…
A: On 01.01.2020, DAMIPERA corporation provided loan to LAPERA company = Php5000000 Loan term = 5 years…
Q: A Bank granted a loan to a borrower in the amount of P5,000,000 on January 1, 2021, The interest…
A: Solution Carrying amount is the cost of an asset less accumulated depreciation.
Q: CM company borrowed 2000000 from a bank on june 30 2015. the loan has an annual interest rate of 10%…
A: A loan is a sum of money borrowed from a third party, such as a bank, and reimbursed in…
Q: 5. A bank gives a loan to a company to purchase an equipment worth P1,000,000 at an interest rate of…
A: Formula for calculating the installment amount is: EMI formula = [P*r*(1+r)^n]/[(1+r)^n - 1]
Q: What is the carrying amount of the loan receivable on December 31, 2021?
A: Carrying amount of the loan receivable is the amount of loan which is due and the present value of…
Q: 1. A lending institution charges its client Php 1,008,000 on a loan of Php 1.6M for 5 years and 3…
A: A method of computing interest amounts in which the compounding effect was not considered by the…
Q: 2. A loan of P2,000 is made for a period of 13 months. from January 1 to-lanuary 31 the following…
A:
Q: The PC shop obtains a loan from a finance company. It is to be repaid by quarterly payments of PHP…
A: Quarterly payment (P) = PHP 50,000 First payment period = 2 Years First payment period in quarters…
Q: A business loan worth Php 1,000,000 is to be repaid quarterly in 2 years . The interest rate is 10%…
A: Given: Loan amount "P" = Php 1,000,000 Number of years of payment = 2 years Number of periods of…
Q: require an annual fee of 50,000 and an interest of 1% per month. On March 1, 2020, 3,000,000 is used…
A: Interest on remaining period on purchase value in credit line Purchase value = 30,00,000 used upto…
Q: WHAT I CAN DO? Solve and show your solution and explanations in a separate paper. 1. CM Company…
A: Loan is an amount which is borrowed from external sources like banks for a specific period. This…
Q: a businessman borrowed Php4000 to be paid after 1 1/2 years with interest at 10% compounded semi-…
A: Loan 1 value = Php 4000 Interest rate = 10% per annum = 5% semiannually Duration = 1.5 years = 3…
Q: On July 1, 2017, Pikes Peak Skateboards borrows under a zero coupon loan. The loan require Pikes…
A: solution : How much cash did pikes peak skateboard receive on July 1 Let us calculate the…
Q: al interest rate of 10% and the principal is payable at the end of every q unting to P 25 000. The…
A: Interest expense refers to the expenses incurred by an entity for the borrowed money from any…
Q: Arwa Software Ltd. has successfully developed a new spreadsheet program. To produce and market the…
A: Bond: It is a fixed income instrument which is provided to a a borrower by an Investor and carry…
Q: On September 30, 2017, Ericson Company negotiated a two-year, 1,000,000 dudek loan from a foreign…
A: Foreign exchange loss A foreign exchange gain/loss occurs when a company buys and/or sells goods and…
Q: Which interest rate compounded annually is Watson paying on this loan?
A: Information Provided: Loan amount = $44,940 Periodic payment = $10,000 Years = 10
Q: A lending institution charges its client Php1,008,000 on a loan of Php1.6m for 5 years and 3 months.…
A: Given: Interest amount = Php1,008,000 Loan amount = Php1600,000 Time period = 5 years and 3 months
Q: 1. A company employee loans P100,000 from a bank with interest at 8% compounded quarterly. He then…
A: Loan Amount = 100,000 Quarterly Compounding Interest Rate = 8%/4 = 2% per quarter 6 equal quarterly…
Q: ESD Company borrowed 5 million pesos from a bank on September 30, 2015. The loan principal is…
A: Interest expense is the interest amount paid by the borrower of the loan at regular time interval.…
Q: 1.Jude borrowed money from the bank.He received Php 18,000 & promised to pay Php 22,750 at the end…
A: Solution:- Given, 1). Received money = Php 18,000 Promised to pay = Php 22,750
Q: 1. CM Company borrowed 2,000,000 from a bank on June 30, 2015. The loan has an annual interest rate…
A: Loan and its repayment: A loan that's taken out by an individual or a company is usually repaid in…
Q: A. CM Company borrowed 2000,000 pesos from a bank on June 30, 2015. The loan has an annual interest…
A: Amortized loan is one in which the borrower is required to make regular, planned instalments that…
Q: CM Company borrowed Php2 000 000 from a bank on June 30, 2015. The loan has an annual interest rate…
A: Amortized loan is one in which the borrower is required to make regular, planned instalments that…
Q: 2. A loan amounting to P1.5 million was secured dated, June 1, 2010. The loan should be paid by…
A: The retirement of debt is the process by which amount lent is repaid by borrower to the lender for…
Q: On December 1, 2014, Nicole Company gave Dawn Company a P200,000, 12% loan. Nicole Company paid…
A: When a customer applies for a loan with a bank, the bank does the due procedures and provides the…
Q: A loan of P15 000 is taken out. If the interest rate on the loan is 7%, how much interest is due…
A: Notes Payable - Notes Payable is the liability for the company which needs to be paid after a fixed…
Q: On July 1, 2020, Jason Corporation pledged P5,000,000 of its accounts receivable to Philippine Bank…
A: Accounts Receivable Pledging:- It is the use of accounts receivable as collateral to secure loans…
Q: A Loan amounting to PHP150,000 was secred dated, January 1, 2016. the loan will be paid by means of…
A: The present value of loan is equal to the present value of all future term installments discounted…
Q: A Php 5,000 loan at 21% per annum was made from April 1, 2016, to March 29, 2018. Find it's ordinary…
A: Simple interest refers to the interest which is calculated on the principal amount of the loan or on…
Q: CM Company borrowed 2,000,000 from the bank on June 30, 2015. The loan has an annual interest rate…
A: A loan appears to be an engagement where a lender makes funds available to another party in return…
Q: A loan amounting to Php 3,000,000 which was incurred on December 31, 2014 is paid at the rate of Php…
A: The interest on the loan should be calculated on the reducing balance for the specific period.
Q: Megabank granted an 8% 3-year loan to Global Company on January 1, 2018. The interest on the loan is…
A: Step 1 An amortized loan is a loan accounting over the tenure of loan subject to the cash flows over…
Q: What future amounts is due at the end of the loan period?
A: Loan amount = php 2500 Period of 13 months, from january 1 to january 31 the following year.…
Q: 3 On July 1, 2015, AA Company borrowed Php5,000,000 from ASC Bank at the rale of 10% a year, The…
A: Amount borrowed Php5,000,000 Rate of interest is 10%
Q: On December 31, 2023, JFG Company, a financing institution, lent P4,000,000 to MFG Company due 3…
A: Impairment Loss-:An Impairment Loss is a prominent reduction in the carrying amount of an investment…
Q: What amount must be repaid on May 1, 2018, if Php 4,000 is borrowed on May 1, 2014 at 6.25% simple…
A: Principal amount (P) = 4000 Interest rate (r) = 6.25% = 0.0625 Time (t) =…
Q: On January 1, 2016, Brubeck Company purchased equipment and signed a six-year mortgage note for…
A:
Q: Using the exact method, how much money will be required on July 6, 2016, to repay a loan of $5000…
A: Loan =$5000 Interest Rate = 8.5% Interest Rate quarterly (r) = 8.5%/4 = 2.125% Number of quarters…
Q: On January 1, 2020, Sukuna Bank loaned 4,000,000 to Satori Company. The interest of the loan is 7%…
A: Initial measurement of loans receivables is Fair value plus transaction costs. Direct origination…
Q: Use the information presented below in answering questions 11-15. On December 31, 2018, Tina…
A: "As per the policy of our company, we are allowed to answer only the first three sub-parts in case…
Q: 1. A man borrows Php 64,000 from a loan association. In repaying this debt, he has to pay Php 4000…
A: Simple Interest is calculated directly on the principal for the respective period of time. Simple…
Trending now
This is a popular solution!
Step by step
Solved in 2 steps with 1 images
- On January 1, 2018, King Inc. borrowed $150,000 and signed a 5-year, note payable with a 10% interest rate. Each annual payment is in the amount of $39,569 and payment is due each Dec. 31. What is the journal entry on Jan. 1 to record the cash received and on Dec. 31 to record the annual payment? (You will need to prepare the first row in the amortization table to determine the amounts.)CM company borrowed 2000000 from a bank on june 30 2015. the loan has an annual interest rate of 10% and the principal is payable at the end of every quarter amounting to 25000. the first quarterly payment will be on september 30, 2015. prepare an amortization schedule for 2015 until the loan is fully paid on june 30, 2017. how much interest expense is incurred in 2015 and 2016 with respect to this loan?A. CM Company borrowed 2000,000 pesos from a bank on June 30, 2015. The loan has an annual interest rate 10% and the principal is payable at the end of every quarter amounting to 250,000 pesos. The first quarterly payment will be on September 30, 2015 prepare an amortization schedule for 2015 until the loan is fully paid on September 30, 2017. How much interest expense is incurred in 2015 and 2016 with respect to this loan?
- B. ESD Company borrowed 5 million pesos from a bank on September 30, 2015. The loan principal is payable every six months starting march 31, 2016 at the rate of 1,000,000. The loan has an annual interest rate of 10%. Determine the interest cxpense related to this loan in 2015, 2016,2017 and 2018.1. A note of P 55,000 dated January 1, 2015 is due in 5 years and 6 months with interest at 9% compounded quarterly. On July 1, 2017, the holder of the note has it discounted by a lender who charges 8 ½ % converted semi-annually. What are the proceeds?2. A loan amounting to P1.5 million was secured dated, June 1, 2010. The loan should be paid by means of 60 equal payments to be made at the end of each month, with the first payment due on June 30, 2010. The interest rate is 15% compounded monthly. a. Determine the required monthly payments to retire the debt. b. Show the first five rows of the amortization table corresponding to this loan.
- 1.) FInd the oddinary interest on 500,000 at 5.5% invested fro, April 1 to December 24, 2017 using actual time and approximate time. 2.) Find the simple interest on 20,000 borrowed on May 1 and will be paid after 6 months at 6.25% interest using exact time. 3.) What Amount should be paid on July 5, 2017 on a loan of 100,000 made on January 25, 2018 with 4.7% simple interest? 4.) An eligible Pag-IBIG member may borrow up to a maximum of 80% of his total accumulated value (TAV) subject to the terms and conditions of the program. After a strong typhoon, Mang Liloy applied for a calamity loan of 30,000. The current interest rate for the calamity loan is 5.95% per annum. How much interest does Mang Liloy have to pay at the end of 1 year?A Loan amounting to PHP150,000 was secred dated, January 1, 2016. the loan will be paid by means of 12 equal payments to be made at the end of each month, with the first payment due on january 31, 2016. The interest rate is 12% compounded monthly. Construct a table showing the amortization of the loan.On December 31, 2016, Rocky Bank has a loan receivable of P4,000,000 from a borrower that it's carrying is at face value and is due on December 31, 2022. Interest on the loan is payable at 9% each December 31. The borrower paid the interest due on December 31, 2016 but informed the bank that it would probably miss the next two years' interest payments. After that, the borrower is expected to resume the annual interest payment but it would make the principal payment one year late, with interest paid for that additional year at the time of principal payment. Round off present value factors up to three decimal points. What is the impairment loss for 2016?
- A loan amounting to Php 3,000,000 which was incurred on December 31, 2014 is paid at the rate of Php 500,000 principal balance every June 30 and December 31. New loans of Php 3 500 000 will be incurred on December 31, 2015 payable at the rate of Php 500,000 every June 30 and December 31. Annual interest rate is expected at 8%. How much is the total interest expense?A Php 5,000 loan at 21% per annum was made from April 1, 2016, to March 29, 2018. Find it's ordinary and exact interest?A $5000 short-term loan was received on December 3 rd 2018. This loan is scheduled to be repaid as nine uniform weekly payments. A grace period is granted for 5 weeks during which no repayments are required. The first repayment took place on January 7th and should go on for 8 more weekly payments. a] Create a cash flow diagram of the loan showing both the money received as loan and, in symbols, money paid back to the lender (R/week). b] What is the weekly payment if the contract says that the nominal interest rate on this loan is 30% compounded daily? In this part, please make the assumption that the 5 week grace period is interest-free. That is, the value of time during the grace period is zero. Starting from January 7th time value of money follows the contract. c] How much would the weekly payment be had the grace period not been interest free? That is, imagine now that time value of money follows the contract from December 3