Calculate the dollar value of the interest expense

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Q1. On January 1, 2018, Baltimore Company issued $250,000 face value, 5%, 5-year bonds at 102. Interest is paid annually on January 1. Baltimore uses the straight-line method for amortization. Use this information to determine the dollar value of the interest expense for the 2018 fiscal year. Round your answer to the nearest whole dollar.

Q2. The following financial information is for Chesapeake Corporation are for the fiscal years ending 2018 & 2017 (all balances are normal):

Item/Account 2018 2017

Cash $35,000 $24,000

Accounts Receivable 56,000 52,000

Inventory 40,000 38,000

Current Liabilities 76,000 42,000

Net Sales (all credit) 550,000 485,000

Cost of Goods Sold 320,000 265,000

Use this information to determine the number of days in inventory for 2018: (Use a 365 day year. Round & enter your answers to one decimal place and enter the value

Q3. The following financial information is for Chesapeake Corporation are for the fiscal years ending 2018 & 2017 (all balances are normal):

Item/Account 2018 2017

Cash 25,000 $24,000

Accounts Receivable 56,000 52,000

Inventory 40,000 48,000

Current Liabilities 83,000 42,000

Net Sales (all credit) 550,000 485,000

Cost of Goods Sold 288,000 265,000

Use this information to determine the number of current ratio as of December 31, 2018: (Round & enter your answers to one decimal place and enter the value.)

Q4. The following information is related to Towson Company's fiscal year 2018.

Income Statement:

Net Income $2,000,000

Depreciation Expense 500,000

Loss on Sale of Plant Assets 70,000

Interest Expense 5,000

Balance Sheet - 12/31/17: Increase (Decrease)

Accounts Payable decrease 50,000

Plant Assets - Purchased 250,000

Plant Assets - Disposals (100,000)

Additional Information:

Common Stock exchanged for outstanding Long Term Notes Payable of $125,000

Dividends paid were $30,000

Use this information to determine Towson Company's Net Cash Flows from Operating Activities. If the amount is an outflow then enclose the amount with dollar sign inside of brackets.

Reference no: EM132428785

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