Accounting: What the Numbers Mean
11th Edition
ISBN: 9781259535314
Author: David Marshall, Wayne William McManus, Daniel Viele
Publisher: McGraw-Hill Education
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Textbook Question
Chapter 4, Problem 4.15E
Exercise 4.15
LO 6 . 7
Notes receivable-interest accrual and collection On April 1, 2016, Tabor Co. received an $18,000 note from a customer in settlement of an $18,000 account receivable from that customer. The note bore interest at the rate of 15% per annum, and the note plus interest was payable March 31, 2017.
Required:
Use the horizontal model to show the effects of each of these transactions and adjustments:
- Receipt of the note on April 1, 2016.
- The accrual of interest at December 31, 2016.
- The collection of the note and interest on March 31, 2017.
(Note: As an alternative to using the horizontal model, write the
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Exercise 4-15 (Algo) Notes receivable—interest accrual and collection LO 6, 7
On April 1, 2019, Tabor Co. received an $5,400 note from a customer in settlement of an $5,400 account receivable from that customer. The note bore interest at the rate of 12% per annum, and the note plus interest was payable March 31, 2020.Required:Use the horizontal model to show the effects (+ for addition and − for subtraction) of each of these transactions and adjustments:
Receipt of the note on April 1, 2019.
The accrual of interest at December 31, 2019.
The collection of the note and interest on March 31, 2020.
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Calculate the monthly payment by table lookup and formula. (Answers will not be exact due to rounding of percents in table lookup.).
(Use 13% for table lookup.). (Use the loan amortization table) (Round your answers to the nearest cent.)
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Total of monthly
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$5,849.76
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Purchase price
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$5,793
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financed
APR
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$1, 283
48
$4,510
13%
Monthly Payment
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By table
By formula
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QUESTION 10
A company incurred the following costs associated with the purchase of a piece of land that it will use to re-build an office building:
Purchase price of the land
Sale of salvaged parts already on land
Demolition of the old building
Ground-breaking ceremony (food and supplies)
Land preparation and leveling
What is the total capitalized cost of the land?
O $437,500
O $417,500
O $439,000
O $427,500
O None of the above
QUESTION 11
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Chapter 4 Solutions
Accounting: What the Numbers Mean
Ch. 4 - Prob. 4.1MECh. 4 - Mini-Exercise 4.2 LO 2, 6, 7 Record transactions...Ch. 4 - Prob. 4.3MECh. 4 - Prob. 4.4MECh. 4 - Exercise 4.5 LO 2. 6, 7 Record transactions and...Ch. 4 - Exercise 4.6 LO 2. 6, 7 Record transactions and...Ch. 4 - Exercise 4.7 LO 6 Write journal entries Write the...Ch. 4 - Exercise 4.8 LQ 6 Write journal entries Write the...Ch. 4 - Exercise 4.9 LO 2, 6, 7 Record transactions and...Ch. 4 - Exercise 4.10 LO 2. 6, 7 Record transactions and...
Ch. 4 - Exercise 4.11 LO 2. 6, 7 Record transactions and...Ch. 4 - Exercise 4.12 LO 2, 6, 7 Record transactions and...Ch. 4 - Exercise 4.13 LO 3 Calculate retained earnings On...Ch. 4 - Prob. 4.14ECh. 4 - Exercise 4.15 LO 6 . 7 Notes receivable-interest...Ch. 4 - Exercise 4.16 LO 6, 7 Notes payable-interest...Ch. 4 - Exercise 4.17 LO 6, 7 Effect of adjustments on net...Ch. 4 - Exercise 4.18 LO 6, 7 Effects of adjustments A...Ch. 4 - Exercise 4.19 LO 6 , 7 T-account analysis Answer...Ch. 4 - Exercise 4.20 LO 6, 7 Transaction analysis using...Ch. 4 - Problem 4.21 LO 2, 6, 7 Record transactions and...Ch. 4 - Prob. 4.22PCh. 4 - Prob. 4.23PCh. 4 - Problem 4.24 LO 6. 7 Calculate income from...Ch. 4 - Prob. 4.25PCh. 4 - Prob. 4.26PCh. 4 - Problem 4.27 LO 6. 7 Analyze several accounts...Ch. 4 - Prob. 4.28PCh. 4 - Case 4.29LO 6, 7Capstone analytical review of...Ch. 4 - Prob. 4.30C
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- QUESTION 11 On August 1, 2024, a company lends cash and accepts a $15,000 note receivable that offers 14% interest and is due in nine months. How would the company record the year-end adjusting entry to accrue interest in 2024? (Do not round intermediate calculations. Round your answer to the nearest dollar amount.) O Interest Revenue esc O Interest Receivable. ption Interest Receivable. O Interest Receivable PI Interest Revenue Interest Receivable Interest Revenue. O Interest Revenue 1 A Interest Revenue. Click Save and Submit to save and submit. Click Save All Answers to save all answers. N Interest Receivable p #1 2 W S P 12 command X # 3 E D 8.0 C $ 4 a FA R F 07 20 5 V 2,100 4 FS 875 T 945 875 945 G 0) > A 6 B & F6 875 2,100 Y 945 875 MacBook Air 945 H & 7 8 F7 U N * 8 J DII FB I M ( 9 K DO F9 O < . O L 4 Save All Answers F10 P command I' V 4 I FIL optarrow_forwardTABLE 14.2 Loan amortization table (monthly payment per $1.000 to pay principal and interest on installment loan) Terms in months 7.50% 8% 8.50% 9% 10.00% 10.50% 11.00% I1.50% 12.00% 6. $170.34 $170.58 $170.83 $171.20 $171.56 $171.81 $172.05 $172.30 $172.55 12 86.76 86.99 87.22 87.46 87.92 88.15 88.38 88.62 88.85 18 58.92 59.15 59.37 59.60 60.06 60.29 60.52 60.75 60.98 24 45.00 45.23 45.46 45.69 46.14 46.38 46.61 46.84 47.07 30 36.66 36.89 37.12 37.35 37.81 38.04 38.28 38.51 38.75 36 31.11 31.34 31.57 31.80 32.27 32.50 32.74 32.98 33.21 42 27.15 27.38 27.62 27.85 28.32 28.55 28.79 29.03 29.28 48 24.18 24.42 24.65 24.77 25.36 25.60 25.85 26.09 26.33 54 21.88 22.12 22.36 22.59 23.07 23.32 23.56 23.81 24.06 60 20.04 20.28 20.52 20.76 21.25 21.49 21.74 21.99 22.24 TABLE 14.2 (concluded) Terms in months 12.50% 13.00% 13.50% 14.00% 15.00% 15.50% 16.00% 6. $172.80 $173.04 $173.29 $173.54 S173.79 $174.03 $174.28 $174.53 12 89.08 89.32 89.55 89.79 90.02 90.26 90.49 90.73 18 61.21 61.45 61.68…arrow_forwardEX 8-19 Determine due date and interest on notes Determine the due date and the amount of interest due at maturity on the following notes dated in 2016: TTI Date of Note Face Amount Interest Rate Term of Note January 3* February 20* May 24 August 30 October 4 120 days 30 days 45 days 90 days a. $80,000 6% b. 27,000 C. 62,500 d. 30,000 40,000 7 90 days e. * February 2016 has 29 days.arrow_forward
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