40. On January 1, 2017, Prague Company sold its goods costing P400,000 to Budapest Company. Prague, Company maintains a mark-up of 30% on cost. Budapest Company issued a promissory note that provides for equal annual installments that will yield 12%. The first installment would be made at the end of the current year and the last on December 31, 2021. Prague Company uses the calendar year for reporting purposes The annual collections is a. 99,075 b. 110,964 128,79.7 d. 144,253 C.

40. On January 1, 2017, Prague Company sold its goods costing P400,000 to Budapest Company. Prague, Company maintains a mark-up of 30% on cost. Budapest Company issued a promissory note that provides for equal annual installments that will yield 12%. The first installment would be made at the end of the current year and the last on December 31, 2021. Prague Company uses the calendar year for reporting purposes The annual collections is a. 99,075 b. 110,964 128,79.7 d. 144,253 C.

College Accounting, Chapters 1-27

23rd Edition

ISBN:9781337794756

Author:HEINTZ, James A.

Publisher:HEINTZ, James A.

Chapter17: Accounting For Notes And Interest

Section: Chapter Questions

Problem 3CE

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