Glen pool club inc has a 149000 mortgage liability the

Assignment Help Accounting Basics

Reference no: EM13572930

Glen Pool Club, Inc., has a $149,000 mortgage liability. The mortgage is payable in monthly installments of $2,100, which include interest computed at an annual rate of 12 percent (1 percent monthly).

a.	Prepare a partial amortization table showing (1) the original balance of this loan, and (2) the allocation of the first two monthly payments between interest expense and the reduction in the mortgage's unpaid balance. (Omit the "$" sign in your response.)

Amortization Table
Monthly Interest Period	(A) Monthly Payment	(B) Interest Expense	Reduction in Unpaid Balance	Unpaid Balance
Original balance	-	-	-	$
1	$	$	$
2

b.	Prepare the journal entry to record the second monthly payment. (Omit the "$" sign in your response.)

General Journal	Debit	Credit
Interest expense
Mortgage payable
Cash

Will monthly interest increase, decrease, or stay the same over the life of the loan?

	Increase
	Stay the same
	Decrease

Reference no: EM13572930

Questions Cloud

Calculate the number of days sales in inventory for 2013 : net sales 967250 cost of goods sold 631450 average inventories for the year 198000 inventories at year-end 158300

The investment committee of shield insurance co is : the investment committee of shield insurance co. is evaluating two projects office expansion and upgrade to computer

Determine the amount of value-added and non-value-added : classic chef appliance company manufactures home kitchen appliances. the manufacturing process includes stamping final

Hello i need a personal statement for college admission my : hello i need a personal statement for college admission. my major is radiology. you have to write why did i select

Glen pool club inc has a 149000 mortgage liability the : glen pool club inc. has a 149000 mortgage liability. the mortgage is payable in monthly installments of 2100 which

A project you are considering is expected to provide : a project you are considering is expected to provide benefits worth 225000 in 3 years and 4 months. if the risk-free

1 describe experiences you have had with persuasive writing : my experiences with persuasive writingone to 2 pagesaddress these criteria1 describe experiences you have had with

Firm l had net assets at the end of the year of 415000 the : firm l had net assets at the end of the year of 415000 .the only transactions affecting stockholders equity during the

Identify three websites that you plan to use for your : please respond to the followingidentify three websites that you plan to use for your research on a paper to convince.

User Account

All Pages