Novak Corporation, having recently issued a $ 20,006,100, 15-year bond issue, is committed to make annual sinking fund deposits of $ 619,000. The deposits are made on the last day of each year and yielda return of 10%. Click here to view factor tables Will the fund at the end of 15 years be sufficient to retire the bonds? Future value of an ordinary annuity 24 Will funds be sufficient? Save for Later Attempts: 0 of 1 used Submit Answer
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- Vaughn Company recently signed a lease for a new office building, for a lease period of 11 years. Under the lease agreement, a security deposit of $13,930 is made, with the deposit to be returned at the expiration of the lease, with interest compounded at 5% per year.What amount will the company receive at the time the lease expires? (Round factor values to 5 decimal places, e.g. 1.25124 and final answer to 0 decimal places, e.g. 458,581.)Coronado Company recently signed a lease for a new office building, for a lease period of 11 years. Under the lease agreement, a security deposit of $13,930 is made, with the deposit to be returned at the expiration of the lease, with interest compounded at 5% per year. Click here to view factor tables What amount will the company receive at the time the lease expires? (Round factor values to 5 decimal places, e.g. 1.25124 and final answer to O decimal places, e.g. 458,581.)Current Attempt in Progress Presented below are three unrelated situations. (a) Pharoah Company recently signed a lease for a new office building, for a lease period of 12 years. Under the lease agreement, a security deposit of $ 12,490 is made, with the deposit to be returned at the expiration of the lease, with interest compounded at 5% per year. Click here to view factor tables What amount will the company receive at the time the lease expires? (Round factor values to 5 decimal places, eg. 1.25124 and final answer to O decimal places, e.g. 458,581) The company will receive Save for Later Attempts: 0 of 1 used Submit Answer (b1) The parts of this question must be completed in order. This part will be available when you complete the part above. (h?)
- Cullumber Company signed a lease for an office building for a period of 9 years. Under the lease agreement, a security deposit of $7,200 is made. The deposit will be returned at the expiration of the lease with interest compounded at 6% per year. Click here to view the factor table. (For calculation purposes, use 5 decimal places as displayed in the factor table provided.) What amount will Cullumber receive at the time the lease expires? (Round answer to 2 decimal places, e.g. 25.25.) Amount at the time the lease expiresOn June 1, 2024, First National leased a building. The lease agreement calls for First National to make lease payments of $3,627.06 each month for the next two years, with the first lease payment beginning June 30. The company's normal borrowing rate is 79%. Required: 1. Calculate the present value of the lease payments. (Hint: Use a financial calculator or Excel.) 2. Record the lease on June 1, 2024. Complete this question by entering your answers in the tabs below.The lowa DMV leases a building for 20 years. The lease requires 20 annual payments of $12,000 each, with the first payment due immediately. The interest rate in the lease is 11%. What is the present value of the cost of leasing the building? (For calculation purposes, use 5 decimal places as displayed in the factor table provided. Round answer to 2 decimal places, e.g. 52.75.) Click here to view the factor table. Present value 2$
- On June 1, 2021, Florida National leased a building. The lease agreement calls for Florida National to make lease payments of $3,618.18 each month for the next two years, with the first lease payment beginning June 30. The company’s normal borrowing rate is 8%.Required:1. Calculate the present value of the lease payments. Round to the nearest whole dollar. (Hint: Use a financial calculator or Excel)2. Record the lease on June 1, 2021.On June 1, 2024, First National leased a building. The lease agreement calls for First National to make lease payments of $3,627.06 each month for the next two years, with the first lease payment beginning June 30. The company's normal borrowing rate is 79%. Required: 1. Calculate the present value of the lease payments. (Hint: Use a financial calculator or Excel.) 2. Record the lease on June 1, 2024. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Calculate the present value of the lease payments. (Hint: Use a financial calculator or Excel.) (Do not round intermediate calculations. Round your answer to the nearest whole dollar amount.) Present value of lease payments Required 1 Required 2 >At the beginning of the year, Cazenovia, Inc. entered into a five-year lease for equipment that was valued at $95,000. The company will be required to make annual lease payments of $22,000 for 5 years at year-end.The implicit interest rate is 5% and the company classified the lease as a finance lease. What is the balance sheet value of the lease asset and the lease liability?Round answer to the nearest whole number.$Answer How much is interest expense in the first year? What is the reduction in the lease liability in the first year?Round answers to the nearest whole number. Interest expense for first year Reduction of lease liability What is the total expense if straight-line amortization is used for the leased asset?Round answer to the nearest whole number.$Answer Save AnswersNext
- Presented below are three unrelated situations. a. Dwayne Wade Company recently signed a lease for a new office building, for a lease period of 10 years. Under the lease agreement, a security deposit of $12,000 is made, with the deposit to be returned at the expiration of the lease, with interest compounded at 5% per year. What amount will the company receive at the time the lease expires? b. Serena Williams Corporation, having recently issued a $20 million, 15-year bond issue, is committed to make annual sinking fund deposits of $600,000. The deposits are made on the last day of each year and yield a return of 10%. Will the fund at the end of 15 years be sufficient to retire the bonds? If not, what will the deficiency be? c. Under the terms of his salary agreement, president Rex Walters has an option of receiving either an immediate bonus of $55,000, or a deferred bonus of $70,000 payable in 10 years. Ignoring tax considerations and assuming a relevant interest rate of 4%,…GLOVERSVILLE Ltd. Prepare the following lease payments schedule for the lease of a machine from Subic Ltd. The machine has an economic life of six years. The lease agreement requires four annual payments of P33,000, and the machine will be returned to Subic Ltd. at the end of the lease term. The lease term payments schedule is: MLP Reduction in Balance in Interest Expense Liability Liability July 1, 2012 98,512 July 1, 2013 30,000 9,851 20,149 78,363 July 1, 2014 30,000 7,836 22,164 56,199 July 1, 2015 30,000 5,620 24,380 31,819 July 1, 2016 3,181 31,819 35,000 125,000 26,488 98,512 The following five multiple choice questions relate to the information provided above. 45. In its notes to the accounts at June 30, 2014. GLOVERSVILLE ltd would disclose future lease payments of what amount? a. P95,000 b. P65,000 c. P99,000 d. P104,000 46. For the year ended June 30, 2013, what would GLOVERSVILLE Ltd record in relation to the lease? a. An interest expense of P9,851 b. An interest expense of…Suddeth Corporation has entered into a 6 year lease for a building it will use as a warehouse. The annual payment under the lease will be $2,468. The first payment will be at the end of the current year and all subsequent payments will be made at year-ends. If the discount rate is 5%, the present value of the lease payments is closest to (Ignore income taxes.): Click here to view Exhibit 12B-1 and Exhibit 12B-2, to determine the appropriate discount factor(s) using the tables provided. Multiple Choice O O $14,808 $11,050 $14,103 $12,528