User Account

All Pages

What is the carrying value of the note at december

Assignment Help Accounting Basics
Reference no: EM133183428

Question - On December 31, 2016, LEONARD COMPANY acquired a piece of equipment from KOTARO Company by issuing a P1,00,000 note, payable in full on December 31, 2020. Leonard's credit rating permits it to borrow funds from its several lines of credit at 10%. The equipment is expected to have a 5-year life and a P150,000 salvage value. The present value of 1 at 10% for 4 periods is 0.68301.

Required - What is the carrying value of the note at December 31, 2018?

 a. P1,090,903

b. P991,730

c. P826,442

d. P819,612

Reference no: EM133183428

Questions Cloud

What the difference between intrinsic and relative valuation : What is the difference between intrinsic valuation and relative valuation? Give a specific example of a way to value a company using each of these valuation
Google is known for unusual interview questions : 1. Google is known for unusual interview questions. Explain what advantages might these have over more traditional questions about education and experience?
Briefly explain what each of the assessment methods : Identify the state or territory you are based in. Then, based on your state or territory and Identify three assessment methods that performance solutions
Establish financial goal aligned with organizational mission : Establish one financial goal aligned with the organizational mission, vision, and values that support a business expansion effort into domestic and internationa
What is the carrying value of the note at december : The present value of 1 at 10% for 4 periods is 0.68301. What is the carrying value of the note at December 31, 2018
Calculate the residual income for the proposed new line : Koch has just received a proposal to invest $1,980,000 in a new line of energy drinks. Calculate the residual income for the proposed new line
Report of shopper drug mart : Question 1: What did you learn about Shopper's Drug Mart that you did not know before by creating this report? Be specific in your answer
What is a good crossover ratio : What is a good crossover ratio? Is a 8.7% a good crossover rate. What would you recommend the company to do with a crossover rate of 8.7%
Case study oculus inc : What makes the Oculus Rift sell for $399 while other VR products are much less expensive. What other appliances are needed for the VR experience?

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