User Account

All Pages

How much is the net proceeds from the discounting

Assignment Help Accounting Basics
Reference no: EM133014996

Problem - On June 1, 2020, Kielvj Company discounted a 6-month P1,500,000 customer note at 11% with a bank on a without recourse basis. The note has a nominal rate of 9% and dated May 1, 2020.

Required -

1. How much is the net proceeds from the discounting?

2. Under secured borrowing, how much is the increase (decrease) in liability on June 1, 2020?

3. Under conditional sale, how much is the increase {decrease} in assets on June 1, 2020?

4. Under secured borrowing, how much is the net interest income (expense)?

Reference no: EM133014996

Questions Cloud

Determine effect of transactions on gross income : Determine the effect of each of the following transactions on the company's 2020 gross income assuming that the company uses any available options
Health promotion intervention plan outline : Health promotion intervention plan outline - Critically analyse the concepts of community capacity building and empowerment within health promotion intervention
Prepare journal entries to record the transactions : Prepare journal entries to record the following selected transactions that occurred during the company's first year of operations
Calculate the payback period of this project : Calculate the payback period of this project, what would be your decision if the payback period threshold is 2 years
How much is the net proceeds from the discounting : On June 1, 2020, Kielvj Company discounted a 6-month P1,500,000 customer note at 11% with a bank. How much is the net proceeds from the discounting
Compute JCs after-tax income from her practice : Compute JC's after-tax income from her practice assuming her self-employment tax is $4,522, and her marginal income tax rate is 22 percent
Calculate the profit or loss for the year : Asad Company has the following year-end account balances on November 30, 2019: Service Revenue 38,500, Calculate the profit or loss for the year
What is the NPV of the project : Assuming that success and failure are equally likely, what is the NPV of the project? Note that abandonment is still an option if the project is a failure
Calculate theoretical ex-right price and adjustment factor : At 1 July 2019 XYZ Ltd had a total of 5,000,000 ordinary shares on issue. Calculate the theoretical ex-right price and adjustment factor

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