How much cash is the company expected to receive on maturi
Q: On December 1, 2020, Papa Po Company assigned specific accounts receivable totaling P200,000 as…
A: Written promissory notes grant the receiver, or bearer, the right to obtain the sum specified in an…
Q: On June 30, 2021, VKS Company factored P2,500,000 of accounts receivable for P2,250,000. The…
A: Loss on factored = (Accounts receivable - allowance for uncollectible accounts) - Amount received =…
Q: using 360 days in a year, how much cash did thunder company receive from the bank?
A: Given information is: On september 1 thunder company received an p80,000, 12%, 120-day note from a…
Q: The trial balance for BLUE Corporation prepared at December 31, 2020 showed a balance of P4,000,000…
A: Notes receivable refers to the promissory note issued by the debtor for the credit purchase made by…
Q: The sales for the Year 2020-21 are $1,000,000 which includes receivables of $177,000. The owner is…
A: Average days to collect accounts receivable (average collection period): This ratio measures the…
Q: On January 1, Coronado Industries has a beginning cash balance of $166000. During the year, the…
A: Cash balance is increased with the receipts and decreased with the disbursements. Ending cash…
Q: On June 30, 2021, BTS Company factored P2,500,000 of accounts receivable for P2,250,000. The…
A: Loss on factored = (Accounts receivable - allowance for uncollectible accounts) - Amount received =…
Q: On july 1, 2017 LA company sold equipment to NA company for 1,000,000. LA accepted a 10% note…
A: Discounting a note receivable refers to the selling of the notes receivable in the future for a…
Q: On May 1, 2014, Nico Company sold merchandise to Customer Francis and received a P26,400 (face…
A: Present value of note receivable on May 1, 2014 = Face value of note x present value factor (10%, 1…
Q: If the total Accounts Receivable of HAPPY ENTERPRISES is 560,000 and gives its customers a 5%…
A: Accounts Receivable means accounts of those customers to whom business has made credit sales on…
Q: On June 8, Williams Company issued an $85,200, 9%, 120-day note payable to Brown Industries.…
A: Note payable is issued by the debtor as a. Promise note that he would make the payment on time with…
Q: The trial balance for BLUE Corporation prepared at December 31, 2020 showed a balance of P4,000,000…
A: Interest income on the non-interest-bearing note is calculated by applying the market interest rate…
Q: On December 31, 2021, Mickey Mouse Company's “Accounts Receivable" includes the following: a.…
A: Trade receivables: Trade receivables are the Accounts receivable that are due to the selling of…
Q: On December 1, 2021, Boxer Company assigned P 400,000 of accounts receivable to Karate Company as a…
A: The amount owed to a company for goods or services delivered or used but not yet paid for by…
Q: Pepper, Inc. had the following receivable financing transactions in 2021: a) At the beginning of…
A: SOLUTION A JOURNAL IS AN OFFICIAL ACCOUNTING BOOK IN WHICH ALL BUSINESS TRANSACTIONS ARE RECORDED IN…
Q: On December 1, 2020, Papa Po Company assigned specific accounts receivable totaling P200,000 as…
A: Carrying amount is defined as the asset original cost minus the accumulated depreciation, and at…
Q: FDN Company received a 60-day 10% promissory note as settlement for goods sold on March 1, 2022 for…
A: The amount to be received at the time of the maturity of the promissory note include the principal…
Q: On January 2, 2021, Apple Co. sold merchandise to Mango, Inc. for P1,500,000. The cost of items to…
A: Under the installment sales the method the sales, its revenue and the expenses related to this sale…
Q: Bulldogs Inc. enters into an agreement with a firm that will factor the company's accounts…
A: The correct answer for the above mentioned question is given in the following steps.
Q: Suppose a company invests in a $50,000 United States Treasury bill at 3.35% interest for 28 days.…
A: Treasury bills: Treasury bills are issued by the government and sold by auctioning these bills…
Q: On January 1, 2021, NOBLE Company sold goods in exchange for a P5,000,000, 1- year,…
A: Discount on notes = Face value of note x market rate of interest x no. of months/12 = P5000000 x 12%…
Q: A note that is dated January 1st with a face value of P5000 comes due on March 15th with interest at…
A: Formula: Interest amount = Face value of bond x Interest rate x Time period.
Q: On 1 September 2021, ABC Bhd used its receivables totalling RM 350,000 as collateral on : 250,000,…
A: Journal entries refers to reporting of business transaction into the books of the entity as well as…
Q: On January 1, 2019, Love Co. sold merchandise to Kit Store in exchange for a non-interest bearing…
A: Value of notes receivable as of January 1, 2019 = Annual payment x PVIAF (8%, 10 years) = P100,000 x…
Q: TORR, Inc. issues a $500,000, 6%, six-year note on January 1, 20X1. If the monthly payment is…
A: A note is one of the debt instruments that is issued by companies in order to raise funds. Note…
Q: During the period, FN Trading issued another promissory note for an additional loan of P74,000 and…
A: The question is based on the concept of Financial Accounting.
Q: 1.) On December 1, 2021, Yan Company assigned Php400,000 of accounts receivable to Ino Company as a…
A: "Since you have asked multiple questions, we will solve the first question for you. If you want any…
Q: How much cash did Thunder Company receive from the bank? *
A: Given information is: On September 1, 2020, Thunder Company received an P80,000, 12%, 120-day note…
Q: Akbar Associates issued 120-day note for $50,000 to a creditor on a account. The note was discounted…
A: Cash Proceeds from Notes Receivable = Present Value of Notes
Q: A merchant sells a product on credit for S/ 50,000 and offers to pay it to a client in three bills…
A: 1. The face value of the bills. Particulars Bill 1 Bill 2 Bill 3 Credit sales amount…
Q: The trial balance for BLUE Corporation prepared at December 31, 2020 showed a balance of P4,000,000…
A: Carrying value of the non-interest bearing promissory note is calculated by discounting the face…
Q: On July 1, 2020, Jolly Company sold goods in exchange for P2,000,000, 8-month, noninterest-bearing…
A: The notes receivable is an account in the balance sheet generally under the current assets if the…
Q: t Chocolate Company had a 12% note receivable dated June 30, 2020 in the original amount of…
A: The interest expenses are to be shown on the in balance sheet each year.
Q: PELADRA Company assigned P500,000 of accounts receivable to PANCHO Finance Company as a security for…
A: Accounts receivables:- Accounts receivables includes the money which is due to a firm on goods and…
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: Dome Metals has credit sales of $522.000 yearly If Dome offers a 2 percent discount for payment in…
A: Accounts receivables of a company are the receivables which a company will receive from the…
Q: On June 8, Williams Company issued an $80,400, 7%, 120-day note payable to Brown Industries.…
A: Given: Face value = $80,400 Interest rate = 7% Days = 120
Q: ABC Company sold 10 units of goods with a unit list price of P2,000 on January 1, 2020. Given that…
A: The period given to avail cash discount is 10 days. Thus 10 days is expired on January 10th. Thus…
Q: The trial balance for BLUE Corporation prepared at December 31, 2020 showed a balance of P4,000,000…
A: The carrying value of the notes receivable is the sum of the notes receivable initially recognized…
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: On 1 September 2021, ABC Bhd used its receivables totalling RM 350,000 as collateral on a 250,000,…
A: DATE PARTICULARS DEBIT CREDIT 30.09.2019 Finance Charge Dr. 5,000.00…
Q: the monthly payment is $5,800, what is the note's carrying value after the first month's payment is…
A: The original cost of an asset, as recorded in the books or balance sheet of a corporation, less the…
Q: On June 8, Williams Company issued an $92,400, 11%, 120-day note payable to Brown Industries.…
A: Solution: Maturity value of note is computed as principal amount of note plus interest amount till…
Q: Ammer Products has an average accounts payable balance of P850,000 and its annual net credit…
A: Accounts payable in the business means accounts of those suppliers from whom business has made…
Q: On December 1, 2021, Wonder Company assigned P400,000 of accounts receivable to Woman Company as a…
A: Accounts receivable (AR) is the amount of cash yet to be received by a firm for products or services…
Q: On June 8, Williams Company issued an $74,400, 7%, 120-day note payable to Brown Industries.…
A:
Q: FDN Trading received the following promissory notes from various customers during 2020 in the course…
A: Introduction:- The following formula used to calculate Interest income on promise notes as follows:-…
Q: On December 1, 2020, RB Company issued accounts receivable of Php6,000,000 to a bank in exchange for…
A: Account receivables are client balances that have not been paid for services rendered or items…
Today, the company sold merchandise for ₱45,094 receiving ₱10,000 down payment and the balance supported by a 10% three-month note. How much cash is the company expected to receive on maturity date of the note?
Step by step
Solved in 2 steps
- The company sells on terms 2/10, net 30. Total sales for the year are P1,000,000, of which P100,000 are on cash basis. Half of the customers pay on the tenth day and take discounts on average, 40 days after their purchases. What is the average amount of receivables?If the total Accounts Receivable of HAPPY ENTERPRISES is 560,000 and gives its customers a 5% discount if their accounts are settled within 10 days, the discount period. What amount of cash would be receive by the enterprise, supposing that it is a VAT paying business and that its customers were able to pay within the discount period.The following information was extracted from ABC Ltd’s financial statements for the year ended 31 December 2019. Sales on 30 November 2019 were K100 million and K110 million on 31 December 2019. For the year 2020, sales are expected to double at a constant monthly rate. 80% of the sales made are on account; the remainder on cash. From past experience, 5% of the receivables have turned out to be irrecoverable. Credit customers pay as follows: 75% in the month following the sale; 15% two months after the sale month. Inventory levels are maintained at 20% of the following month’s sales. Accounts payables are at settled at 30 days after purchase. Required: Prepare a collections schedule for the three-month period from January to March 2020.
- Ammer Products has an average accounts payable balance of P850,000 and its annual net credit purchases is P8,750,000. Assume there are 365 days per year. What is Ammer’s payables deferral period?The following information was extracted from ABC Ltd’s financial statements for the year ended 31 December 2019. Sales on 30 November 2019 were K100 million and K110 million on 31 December 2019. For the year 2020, sales are expected to double at a constant monthly rate. 80% of the sales made are on account; the remainder on cash. From past experience, 5% of the receivables have turned out to be irrecoverable. Credit customers pay as follows: 75% in the month following the sale; 15% two months after the sale month. Inventory levels are maintained at 20% of the following month’s sales. Accounts payables are at settled at 30 days after purchase. Required: Prepare a cash forecast for the three-month period from January to March 2020.Kumi Ltd permits its customers to pay with a credit card or to receive a percentage discount ? for paying cash. For credit card purchases, the company receives 97% of the purchase price one-half month later. Determine the value of ? that would make the two payment methods equivalent if the company’s annual rate of return is 14%.
- On February 1, Maris Company received a 9,000, 10%, four-month note receivable. The cash to be received by Maris Company when the note becomes due is?The company sells on terms 2/10, net 30. Total sales for the year are P1,000,000, of which P100,000 are on cash basis. Half of the customers pay on the tenth day and take discounts on average, 40 days after their purchases. What is the average amount of receivables? a. P62,500 b. P69,444.44 c. P20,408.16 d. P10,204.08On September 1, The business sold merchandise for 33.000 TL (including 10% VAT) FOB Destination. The customer endorses a check for 30.000 TL and signs a 9-month note with an annual interest rate of 6% for 3.000 TL. Which entry is made when the business receives the payment at maturity for the note received on September 1? a.3.180 TL debit to 100-Cash and 3.180 TL credit to 121-N/R b.3.180 TL debit to 100-Cash and 3.000 TL credit to 121-N/R; 180 TL credit to 642-Interest Revenue c.3.135 TL debit to 100-Cash and 3.000 TL credit to 121-N/R; 135TL credit to 642-Interest Revenue d.3.135 TL debit to 100-Cash and 3.135 TL credit to 121-N/R
- 1. Riverbed Company sells goods to Danone Inc. by accepting a note receivable on January 2, 2020. The goods have a sales price of $630,700 (cost of $500,000). The terms are net 30. If Danone pays within 5 days, however, it receives a cash discount of $10,700. Past history indicates that the cash discount will be taken. On January 28, 2020, Danone makes payment to Riverbed for the full sales price. a)Prepare the journal entry(ies) to record the sale and related cost of goods sold for Riverbed Company on January 2, 2020, and the payment on January 28, 2020. Assume that Riverbed Company records the January 2, 2020, transaction using the net method. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No entry" for the account titles and enter 0 for the amounts.) b)Prepare the journal entry(ies) to record the sale and related cost of goods sold for Riverbed Company on January 2, 2020, and the payment on…Bulalugaw's net sales for 2020 is 240,000. 30% of it was on credit. In 2019 their accounts receivable is 32,000 and 58,000 on 2020. How many times were they able to collect their recievables?On October 13, The business sold merchandise for 198.000 TL (including 10% VAT) FOB Destination. The customer endorses a check for 148.000 TL and signs a 9-month note with an annual interest rate of 8% for 50.000 TL. Which entry is made when the business receives the payment at maturity for the note received on October 13? O a. 54.000 TL debit to 100-Cash and 50.000 TL credit to 121-N/R; 4.000 TL credit to 642- Interest Revenue O b. 53.000 TL debit to 100-Cash and 50.000 TL credit to 121-N/R; 3.000 TL credit to 642- Interest Revenue O c. 53.000 TL debit to 100-Cash and 53.000 TL credit to 121-N/R O d. 54.000 TL debit to 100-Cash and 54.000 TL credit to 121-N/R