User Account

All Pages

At what amount should montgomery record the note payable

Assignment Help Accounting Basics
Reference no: EM132476612

Question - On January 1, 2021, the Montgomery Company agreed to purchase a building by making six payments. The first three are to be $42,000 each, and will be paid on December 31, 2021, 2022, and 2023. The last three are to be $57,000 each and will be paid on December 31, 2024, 2025, and 2026. Montgomery borrowed other money at a 12% annual rate.

Required -

1. At what amount should Montgomery record the note payable and corresponding cost of the building on January 1, 2021?

2. How much interest expense on this note will Montgomery recognize in 2021?

Reference no: EM132476612

Questions Cloud

Prepare the Statement of Partners Capital Balances : Rick, Mary, and Joe formed a partnership on January 1, 2017, with investments of $100,000, $150,000, Prepare the Statement of Partners Capital Balances
What is the equity at year-end : Company's assets are $300,000 and the its equity is 100,000. during the year, asset increase $800,000 and liabilities increase to $50,000.What is the equity?
Determine and calculate the amount of dividends : Determine and calculate the amount of dividends that would be paid to each share class for each year under the following separate cases.
State of the economy in the november 3rd election : How important is the state of the economy in the November 3rd election? And why?
At what amount should montgomery record the note payable : Montgomery borrowed other money at a 12% annual rate. At what amount should Montgomery record the note payable and corresponding cost of the building
ECE 456 Embedded Control and Mechatronics Assignment : ECE 456 Embedded Control and Mechatronics Assignment Help and Solution, Southern Illinois University - Homework Help - Explain how the frequency
Determine by how many percent against nzd : Assume that the NZD is undervalued by 24.62% against the USD. Then the USD is overvalued Determine by how many % against NZD?
Problem - Calculation of EPS : Calculation of EPS. The options were exercised on September 1, 2021. Compute Berclair's basic and diluted earnings per share for year ended December
How many percent USD overvalued according to UIRP condition : Assume that the one year interest rates for USD and CHF are USD, By how many % is the USD overvalued/undervalued according to UIRP condition?

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

Accounting problems,  Draw a detailed timeline incorporating the dividends, calculate    the exact Payback Period  b)   the discounted Payback Period. the IRR,  the NPV, the Profitability Index.

  Theory of interest - term structure of interest rates

Term Structure of Interest Rates

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd