A company issues a $10,000 two-year, 4% note payable, repayable in 8 quarterly installments with fixed principal payments. How much is the first installment payment?

Q: A company borrows $100,000 by signing a $100,000, 5% note that requires four equal payments of…

A: Note payable $100,000 Interest rate 5% Present value annuity of 4 payments at 5% is 3.5460.

Q: AB PC Supplies obtains a P5M bank loan at 8% interest compounded semi-annually. The company repays…

A: Loan Amount is P5million Interest rate is 8% Compounded semi annually Semi annual Interest rate…

Q: On January 1, 2020, MP's customer issued a 3 year 8% note, PHP 3,000,000 for services billed to be…

A: Carrying amount is also known as carrying value or book value. The carrying amount of a note issued…

Q: Find the effective interest rate for a $1,500 loan for four years compounded semiannually at an…

A: Calculation of Effective Interest Rate:The effective interest rate is 8.16%.Excel Spreadsheet:

Q: A limited company borrows form commercial bank 1,000,000 at 12% interest to be paid in equal annual…

A: Installments are the scheduled payments as per the agreed terms and conditions and the loan amount…

Q: A company purchases equipment with a $20,000 note payable. The note is to be paid in $5,000 annual…

A: Usually, notes payable is to be treated as a current liability for the organization but as per the…

Q: Lenagar Lumber Inc. is making monthly payments of $572.39 and paying nominal 9% interest on a…

A: A loan amortization table is a schedule of loan payments with bifurcation of interest paid in…

Q: Explain how each of the following liabilities would be classified in the balance sheet:∙ A note…

A: Notes payable: Notes payable is the promissory note which has been issued by the company for their…

Q: Forty eight monthly deposits are made into an account paying 6% nominal interest per year compounded…

A: Amount of each deposit = M Number of deposits (n) = 48 r = 6% per annum = 0.5% per month Accumulated…

Q: A debt of 15,000 with interest at the rate of 15% compounded semiannually is to be amortized by 3…

A: Debt amount now (PV)=15000Interest rate 15%compoundinf semi annuallySo semi annually…

Q: Coltrane Company has a $5,000 note payable that is paid in $1,000 installments over five years. How…

A:

Q: An item can be purchased for 4,500 or for 1,500 down payment and installment payment of 115 every…

A: Loan amount (L) = Purchase price - Down payment = 4500 - 1500 = 3000 Installment payment (A) = 115…

Q: Halep Inc. borrowed $54,000 from Davis Bank and signed a 4-year note payable stating the interest…

A: Given: Period = 4 years Payment = $14,876.46 Loan = $54,000 Interest rate = 4%

Q: lacobs Company borrowed $10,000 on a one-year, 8 percent note payable from the local bank on April…

A:

Q: A company borrowed $10,000 by signing a 180-day promissory note at 11%. The maturity value of the…

A: Amount Borrowed =$ 10,000  Number of days = 180 Rate of Interest = 11% per annum = 11/12  % Maturity…

Q: A loan is amortized over five years with monthly payments at a nominal interest rate of 12%…

A: Borrowings are the liability that is used to finance the requirement of the funds. The borrower…

Q: The total inter

A: Interest = Principal amount * Annual interest  * months/12

Q: A loan company advertises that $100 borrowed for one year may be repaid by 12 monthly installments…

A: Effective annual interest is the amount which is expressed in terms of percentage paid annually to…

Q: A debt of 280,000 is amoertized with 40 equal, semi-annual payments of $14,358, with an interest…

A: Amortized loan: The type of loan where the borrower would make periodic payments that would apply to…

Q: On January 1, a company agrees to pay $20,000 in three years. If the annual interest rate is 10%,…

A: Present value: It can be defined as today’s value of the sum of money that will be received by the…

Q: A company issues 4% loan notes with a nominal value of $20,000,000. The loan notes are issued at a…

A: Loan Notes: Loan notes or loan stocks are financial instruments that helps the issuer to raise…

Q: Colson Company has a line of credit with Federal Bank. Colson can borrow up to $375,000 at any time…

A:

Q: A $12,000 non-interest-bearing promissory note is discounted at 6% compounded monthly, three years…

A: Maturity amount (MV) = $12,000 Interest rate = 6% Monthly interest rate (r) = 6%/12 = 0.50% Period =…

Q: Glen Pool Club, Inc., has an installment loan outstanding with a current balance of $141,000. The…

A: Loan Outstanding =$ 141,000 Interest rate = 6% p.a  6% interest p.a. is given so one month's…

Q: On January 1, a company borrowed cash by issuing a $390,000, 4%, installment note to be paid in…

A: Compute amount of each installment as shown below:

Q: At the beginning of each quarter, P36,000 is deposited into savings account that pays 6% compounded…

A: Quarterly deposits (D) = P36,000 Interest rate = 6% Quarterly interest rate (r) =…

Q: A company has assumed a debt of $45,000,000 to be paid in quarterly installments (at the end of each…

A: "Hii there, Thanks for posting the question. But as per  Q&A guidelines, we must answer the…

Q: Find the nominal rate which when compounded semiannually and applied to a P50,000 principal will…

A: Let us note the given.Principal P = 50,000Interest I = 5000Amount A = P+I = 50,000 + 5000 =…

Q: SR 3,479 was deposited in a savings account that pays 10 percent interest compounded annually. How…

A: The future value is the future worth of the amount that will be paid or received at future.

Q: A debt of P10,000 with 10% interest compounded semi-annually is to be amortized by semi-annual…

A: The amount can be calculated with the help of present value of annuity function.

Q: a seven-year note for $2800.00 issued on october 1,2015, with interest at 5.7% compounded annually…

A: Given that, Present Value of the note(PV)=$2800 Rate of interest(i)=5.7% or 0.057 Duration of the…

Q: The following information is given for a 60-month loan from a bank: Debt repayments are made at the…

A: Given information: Term of loan : 60 months First installment : 300 TL Interest rate : 12.682503%…

Q: Halep Inc. borrowed $30,000 from Davis Bank and signed a 4-year note payable stating the interest…

A: Payment should be credit by cash. Interest expense and LT notes payable is debited.

Q: A $14,000 loan at 6% compounded monthly is repaid by monthly payments over four What is the size of…

A: Since you have posted a question with multiple sub-parts, we will solve first three sub-parts for…

Q: What are the correct portions assigned to principal interest of the final payment?

A: Loan (mortgage) amortization schedule refers to a schedule which is prepared to shows the periodic…

Q: Andrews Inc. issues a $497,000, 10% 3-year mortgage note on January 1. The note will be paid in…

A: Interest expense = Beginning carrying value of principal*Interest rate

Q: months. What is t

A: The outstanding principle after the 10th payment can be calculated as follows :

Q: What is the annual payment on a 8-year, 8 percent, $52,000 note payable?

A: Definition:   Notes payable:  Notes Payable is a written promise to pay a certain amount on a future…

Q: TORR, Inc. issues a $600,000, 9%, five-year note payable on January 1, 20X1. If the monthly payment…

A: Carrying value of note payable Liability note payable =$600000 on January 1 Add Finance cost…

Q: For 20-year, $100,000 loan at 4.5% APR what portion of the monthly payment in Month 3 of the…

A: Loan $100000 Interest 4.5% APR Interest annual=100000*4.5%=$4500 Monthly=4500/12=$375

Q: Chang, Inc. issued a 3-month note in the amount of $360,000 on 12/01/17 with an annual rate of 5%.…

A: Accrued interest is $1,500. Computation of accrued interest: Excel spread sheet:

Q: Chang, Inc. issued a 120-day note in the amount of $360,000 on 12/16/17 with an annual rate of 5%.…

A: Accrued interest is $739.73. Computation of accrued interest: Excel spread sheet:

Q: A student loan of R6978 is to be repaid by 18 equal monthly instalments. Assuming that instalments…

A: Loan amount (PV) = R6978 Interest rate = 18% Monthly interest rate (r) = 18%/12 = 1.50% Number of…

Q: An installment note payable for a principal amount of $48,000 at 6% interest requires Lawson Company…

A: preparation of an amortization table amount borrowed = 48,000 rate of interest = 6%annually annual…

Q: You borrowed $120,000, agreeing to pay the balance in 12 equal annual installments at 9% annual…

A: Loan is the sum of money which is borrowed by the borrower from the lender and the amount is paid…

Q: A P35,000 debt is to be paid off in eight equal yearly payments, each combining an amortization…

A: Effective annual interest rate(EAR) refers to the actual interest rate which is received on deposits…

Q: Halep Inc. borrowed $30,000 from Davis Bank and signed a 4-year note payable stating the interest…

A: working note: interest calculation: $30000 *4% = $1200 $22935.30 *4% = $917.41 $15588.01 *4%…

Q: A fully secured loan of P30,000 was to be amortized by 10 equal semi-annual payments, the first…

A: Loan amount (L) = P 30000 Total payments (n) = 10 r = 12% per annum = 6% semiannually Let semiannual…

Conversion Cycle

Conversion cycle is also known as cash cycle or net operating cycle. Conversion cycle refers to how much time a company takes to turn its investments which is done from stock or any other financial resources into cash flows from sales.