Find what amount of income from loan should thamuz report

Assignment Help Financial Accounting
Reference no: EM132912612

Problem 1: On December 1, 2020, Thamuz Co. Gave Harith Co. a P400,000, 11% loan. Thamuz paid proceeds of P388,000 after the deduction of a P12,000 nonrefundable loan origination fee. Principal and interest are due in 60 monthly installments of P8,620, beginning January 1, 2021. The repayments yield an effective interest rate of 11% at a present value of P400,000 and 12.4% at a present value of P388,000. What amount of income from this loan should Thamuz report in its 2020 income statement? (round-off computations to the nearest peso)

Reference no: EM132912612

Questions Cloud

What the credit to retained earnings in the closing entry : Below is a partial portion of Jolex's adjusted trial balance. When preparing the closing entry, what the credit to Retained Earnings in the closing entry
About different childhood development theories : Reflect on what you know and are learning about different childhood development theories
What is the carrying amount of loan receivable on december : What is the carrying amount of the loan receivable on December 31, 2019? On December 1, 2019, Nicole Company gave Dawn Company a 2,000,000, 12% loan
Identified specific learning disability in academic : Sally is a third-grade student with an identified specific learning disability in the academic areas of reading comprehension and math reasoning.
Find what amount of income from loan should thamuz report : What amount of income from this loan should Thamuz report in its 2020 income statement? On December 1, 2020, Thamuz Co. Gave Harith Co. a P400,000.
Classifications based on english language learners : Classifications based on English language learners; Classifications through ability grouping/tracking; Classifications in sports programs based on gender;
What the company up-to-date ending cash balance : Duncan, Inc.'s unadjusted book balance showed cash balance of $1,754 before preparing the bank reconciliation. What the company up-to-date ending cash balance
How much proceeds is received from the factoring : How much proceeds is received from the factoring? How much is the cost of factoring assuming all of the receivables have been collected?
Article on same myth in popular magazine : Compare an article in a scholarly journal that debunks each myth with an article on the same myth in a popular magazine

Reviews

Write a Review

Financial Accounting Questions & Answers

  Calculate bonus based upon the net income shown

Brett Spelling was hired during January 2014 to manage the home products division of Hi-Tech Products. As part of his employment contract, he was told that he would get $5,000 of additional bonus for every 1% increase that the division’s profits exce..

  What are debentures

Prepare the necessary journal entries to record the foregoing transactions - What are Debentures

  What is the total amount of self employed income

Question - If net profit is $100,000 and there is $10,000 for section 1231 gain. What is the total amount of self employed income

  Find how much will each of newly grads have at retirement

Find How much will each of the newly grads have at retirement? Joe however does not plan to begin investing until 10 years after Donald begins to invest.

  Make a statement of partners equity

Make a Statement of Partners' Equity for 2017. Show the entry to allocate the net income to the partners' capital accounts using the income ratio.

  Determine the contribution margin in dollars

In the month of March, Trendy Spa services 630 clients at an average price of $120. During the month, fixed costs were $18,648 and variable costs were 65% of sales. Determine the contribution margin in dollars, per unit, and as a ratio

  How much will have saved in account

Employer, The money is invested at 4.5% per year compounded monthly. How much will you have saved in your account after 15 years?

  What is mary effective annual rate

What is Mary's effective annual rate? Mary purchased 100 shares of Sweet Pea Co. stock at a price of $49.78 six months ago. She sold all stocks today for $42.76

  How much does iris have to deposit into a savings account

How much does Iris have to deposit into a savings account at the end of each month (starting next month) in order to have the amount she needs

  Advise the chief investment officer if company is subject

How do Examine any investment projects the company has taken in the past and critically examine if that project increased the wealth of the shareholders.

  Basic present value calculations

Calculate the present value of the cash flows, rounding to the nearest dollar and prepare a chronological list of the investment's cash flows. Note: Greene is entitled to the 19X3 dividend.

  What amount of petty cash fund should be reported

What amount of petty cash fund should be reported? A sheet of paper with the names of several employees together with a contribution for a birthday party

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!

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