Vertical Adventures has an open line of credit with a zero balance at its credit union using a fixed interest rate of 7.05%. On the last day of every month, the accrued interest must be paid. On July 8 and August 14, the company made advances of $10,500.00 and $13,250.00, respectively. On July 30, it made a payment of $5,000.00. Vertical Adventures will restore its zero balance on August 31. Construct a full repayment schedule from July 8 to August 31. (Round all monetary values to the nearest penny.) (Use a minus sign before the dollar sign to denote a negative monetary value. For example, "-$149.63".) (Give all "Number of Days" quantities as fractions with denominator 365.) Date Balance Annual before Interest Transaction Rate Number of Days Interest Accrued Charged Interest Jul 8 Jul 30 7.05% Jul 31 7.05% Aug 14 7.05% Aug 31 7.05% Payment (+) or Advance (-) Principal Balance after Amount Transaction $10,500.00
Vertical Adventures has an open line of credit with a zero balance at its credit union using a fixed interest rate of 7.05%. On the last day of every month, the accrued interest must be paid. On July 8 and August 14, the company made advances of $10,500.00 and $13,250.00, respectively. On July 30, it made a payment of $5,000.00. Vertical Adventures will restore its zero balance on August 31. Construct a full repayment schedule from July 8 to August 31. (Round all monetary values to the nearest penny.) (Use a minus sign before the dollar sign to denote a negative monetary value. For example, "-$149.63".) (Give all "Number of Days" quantities as fractions with denominator 365.) Date Balance Annual before Interest Transaction Rate Number of Days Interest Accrued Charged Interest Jul 8 Jul 30 7.05% Jul 31 7.05% Aug 14 7.05% Aug 31 7.05% Payment (+) or Advance (-) Principal Balance after Amount Transaction $10,500.00
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
Chapter6: Cash And Receivables
Section: Chapter Questions
Problem 11RE: On December 1 of the current year, Jordan Inc. assigns 125,000 of its accounts receivable to...
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