CM Company borrowed 2,000,000 from the 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 250,000. The first quarterly payment will be on September 30, 2015. Prepare an amortization schedule for 20O15 until loan is fully paid on June 30, 2017. How much interest expense is incurred in 2015 and 2016 with respect to this loan?
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- Chemical Enterprises issues a note in the amount of $156,000 to a customer on January 1, 2018. Terms of the note show a maturity date of 36 months, and an annual interest rate of 8%. What is the accumulated interest entry if 9 months have passed since note establishment?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.)If Bergen Air Systems takes out a $100,000 loan, with eight equal principal payments due over the next eight years, how much will be accounted for as a current portion of a noncurrent note payable each year?
- A customer takes out a loan of $130,000 on January 1, with a maturity date of 36 months, and an annual interest rate of 11%. If 6 months have passed since note establishment, what would be the recorded interest figure at that time? A. $7,150 B. $65,000 C. $14,300 D. $2,383B. 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.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.
- 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 2. ESD borrowed Php5 million from a bank on September 30, 2015. The loan principal is payable every six months starting March 31, 2016 at the rate of Php1 000 000. The loan has an annual interest rate of 10%. Determine the interest expense related to this loan in 2015, 2016, 2017, and 2018.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?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.
- Prepare the first row of a loan amortization schedule based on the following information. The loan amount is for $17,900 with an annual interest rate of 09.00%. The loan will be repaid over 22 years with monthly payments. 1. What is the Loan Payment? 2. What portion of this payment is Interest? 3. What portion of this payment is Principal? 4. What is the Loan balance after first monthly payment?On January 1, 2022, Strive Bank loaned P2,000,000 to Strike Company. Under the loan agreement, the loan interest rate is 10% and that Strike Company is to pay interest on the loan annually every December 31 starting December 31, 2022. The loan will mature on December 31, 2026.On December 31, 2022, Strive Bank has determined that there is a slight increase in the credit risk of the loan, therefore needs to measure the 12-month expected credit loss for the loan. The bank determined that the probability of the loan being in default over the next 12 months is 1% and that 20% of the principal amount will be lost over the term of the loan. On December 31, 2023, the bank has determined that there is a significant increase in the credit risk of the loan. The probability of the loan being in default over the life of the loan is 10% and that 25% of the principal amount will be lost over the term of the loan. During 2024, the company began to face financial difficulties. On December 31, 2024, the…How much shall be reported as interest income for 2022? ALVR Digital Bank granted a loan to a client on January 1, 2022. The interest on the loan is 12% payable annually starting December 31, 2022. The loan matures in three years on December 31, 2024. Pertinent information on the loan is provided below: Principal amount Origination fee received from the borrower Direct origination cost Indirect origination cost incurred After considering the origination fee received from the borrower and the direct origination cost incurred, the effective rate on the loan is 9%. 1,000,000 44,900 120,856 12,000