If Concord pays off the note on February 15, 2026, and then borrows $1,079,600 on a long-term basis on March 1, how much of the $539,800 should be reported as a current liability at December 31, 2025, the end of the fiscal year? Concord issues the balance sheet on March 1, 2026. The amount to be reported as a current liability at December 31, 2025 $

If Concord pays off the note on February 15, 2026, and then borrows $1,079,600 on a long-term basis on March 1, how much of the $539,800 should be reported as a current liability at December 31, 2025, the end of the fiscal year? Concord issues the balance sheet on March 1, 2026. The amount to be reported as a current liability at December 31, 2025 $

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter13: Investments And Long-term Receivables

Section: Chapter Questions

Problem 3MC: On July 1, 2019, Aldrich Company purchased as an available-for-sale security 200,000 face value, 9%...

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On January 1, 2019, Northfield Corporation becomes delinquent on a 100,000, 14% note to First National Bank, on which 16,651 of interest has accrued. On January 2, 2019, the bank agrees to restructure the note. It forgives the accrued interest, extends the repayment date to December 31, 2021, and reduces the interest rate to 10%. Required: Prepare a schedule for Northfield to compute the annual interest expense in regard to the preceding note for each year of the restructuring agreement.
On July 1, 2019, Aldrich Company purchased as an available-for-sale security 200,000 face value, 9% U.S. Treasury notes for 194,000. The notes mature July 1, 2020, and pay interest semiannually on January 1 and July 1. The notes were sold on December 1, 2019, for 199,000. Aldrich normally uses straight-line amortization on all of its notes. In its income statement for the year ended December 31, 2019, what amount should Aldrich report as a gain on the sale of the available-for-sale security? a. 2,500 b. 3,500 c. 5,000 d. 6,000
A RO40,000, interest-bearing note payable is signed on December 26, 2020. If the note is a 120-day note, what is the maturity date for this short-term liability? a. March 25 b. April 26 c. March 26 d. April 25
On January 2, 2018, Keystone Company borrowed $60,000 from Bank Three. The loan was to be repaid in equal principal installments of $10,000, payable on December 31 of each year, beginning on December 31, 2018. Disregarding interest, the amount of the $60,000 loan that should be considered a long-term liability on the company's balance sheet for the year ended December 31, 2019 would be: O $30,000 Ⓒ $40,000 O $50,000 O $20,000 O None of the above.
Constellation Corp. reported the following liability balances on December 31, 2021: 10% note payable issued on October 1, 2020, maturing October 1, 2022... 12% note payable issued on March 1, 2020, on March 1, 2022.... .P 2,000,000 4,000,000 The 2021 financial statements were issued on March 31, 2022. Under the loan agreement, the entity has the right on December 31, 2021 to roll over the 10% note payable for at least 12 months after December 31, 2021. On March 1, 2022, entire P 4,000,000 balance of the 12% note payable was refinanced through issuance of a long-term obligation payable lump-sum. What amount of the notes payable should be classified as current on December 31, 2021?
The balance of the Estimated Warranty Liability account was $12,000 on January 1, 2019, and $13,600 on December 31, 2022. Based on an analysis of warranty claims during the past several years, this year's warranty provision was established at 3% of sales, and sales during the year were $800,000. Required: a). What amount of warranty expense will appear on the income statement for the year ended December 31, 2022? b). What were the actual costs of servicing products under warranty during the year?
PROBLEM: EB Bank granted a loan to a borrower on January 1, 2019. The interest on the loan is 10% payable annually starting December 31, 2019. The loan matures in three years on December 31, 2021. The principal amount of loan is P3,500,000. In addition, direct origination cost incurred amounted to P70,000, and indirect origination cost incurred, P35,000. Finally, origination fee charged against the borrower amounted to P238,000. a) Compute for the carrying amount of the loan receivable on January 1, 2019. b) The new effective rate after considering the origination fees and costs incurred is 12%. Prepare a table of amortization for the loan receivable. c) Prepare journal entries for 2019 and 2021.
On December 1, 2021, your company borrowed $15,000, a portion of which is to be repaid each year on November 30. Specifically, your company will make the following principal payments: 2022, $2,000; 2023, $3,000; 2024, $4,000; and 2025, $6,000. Show how this loan will be reported in the December 31, 2022 and 2021, balance sheets, assuming principal payments will be made when required. Total Liabilities Balance Sheet (Partial) $ As of December 31 2022 2021 0 0 4
On September 30, 2019, Lakatan Inc. borrowed P1,000,000 on a 9% note payable. The entity paid the first of four quarterly payments of P264,200 when due on December 31, 2019. How much was deducted from the note payable on December 31, 2019?
On April 1, 2019, Char Company borrowed P5,000,000 and signed a 2-year note bearing interest at 12% per annumcompounded annually starting March 31, 2020. Interest is payable in full at maturity on March 31, 2021. What amountshould Char Company report as a liability for accrued interest at December 31, 2020?a. P1,104,000 b. P1,050,000 c. P1,200,000 d. P1,100,000
ABC Bank granted a loan to a borrower on Jan. 1, 2019. The interest on the loan is 10% payable annually starting Dec. 31,2019. The loan matures in five years on Dec. 31,2023. The data related to the loan are:Principal amount 8,000,000Origination fees received 700,000Direct Origination cost incurred 123,000The effective rate on the loan after considering the direct origination cost and the origination fee received is 12%. 1.What is the entry to record the receipt of the interest income on December 31, 2019?2.What is the interest income for 2019?
Assume that on September 1, 2022, Brannigan, which has a year-end of December 31, borrows $120,000,000 on a three-year, 7%note. The note requires annual interest payments and repayment ofthe principal plus the final year's interest at the end of the thirdyear.Even though no payment is due on December 31, interest must beaccrued for the period