Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
Question: Long-Term Financing Agreement. You have been engaged to audit the financial statements of Broadwall Corporation for the year ended December 31, 2014. During the year, Broadwall obtained a long-term loan from a local bank pursuant to a financing agreement, which provided the following:
1. The loan is to be secured by the company's inventory and accounts receivable.
2. The company is to maintain a debt:equity ratio not to exceed 2:1.
3. The company is not to pay dividends without permission from the bank. 4. Monthly installment payments are to commence July 1, 2014. In addition, during the year, the company also borrowed, on a short-term basis, substantial amounts just prior to the year-end from the president of the company. Required:
a. For the purposes of your audit of the Broadwall Corporation's financial statements, what procedures should you employ in examining the described loans? Do not discuss internal control.
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: - Explain the goals and uses of special journals.
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.
Term Structure of Interest Rates
Write a report on Internal Controls
Prepare the bank reconciliation for company.
Create a cost-benefit analysis to evaluate the project
Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR
Distinguish between liquidity and profitability.
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, Compound interest, discount rate, force of interest, AV, PV
CAPM and Venture Capital
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!
whatsapp: +1-415-670-9521
Phone: +1-415-670-9521
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd