What is the weighted-average interest rate

Assignment Help Accounting Basics
Reference no: EM132563331

Question - Oriole Company is constructing a building. Construction began on January 1 and was completed on December 31. Expenditures were $6410000 on March 1, $5260000 on June 1, and $8450000 on December 31. Oriole Company borrowed $3190000 on January 1 on a 5-year, 10% note to help finance construction of the building. In addition, the company had outstanding all year a 8%, 3-year, $6370000 note payable and an 9%, 4-year, $12250000 note payable. What is the weighted-average interest rate used for interest capitalization purposes?

Reference no: EM132563331

Questions Cloud

Provide future economic benefit : Company owns that can provide future economic benefit. Liabilities are what you owe other parties. Distinguishing between Assets and Liabilities.
Explain between owners equity and owners capital : Accumulated profits, general reserves and other reserves, etc. So describe the Owners' Equity and also Distinguishing between Owners' Equity and Owners' Capital
Find the depreciation expense for the first full year : If the salvage value is $1120000, and the useful life is 40 years, find the depreciation expense for the first full year using the straight-line method
Demonstrate comprehension and analysis : Demonstrate comprehension and analysis to at least three of your peers' posts. You may consider answering questions
What is the weighted-average interest rate : Oriole Company is constructing a building. What is the weighted-average interest rate used for interest capitalization purposes
What would be the adjusting entry for the case : What would be the adjusting entry for this case? Company A is in the middle of a court case with Company Z because Company A refused
Question - Break-Even Sales and Sales Mix : Question - Break-Even Sales and Sales Mix for a Service Company. How many business class and economy class seats would be sold at the break-even point
Determine what is value of inventory at the end of the year : Find What is the value of inventory at the end of the year? Inventory is the total goods on hand and available to sell, presumably within a year.
Question - Margin of Safety : If the margin of safety for Canace Company was 20%, fixed costs were $1,875,000, and variable costs were 80% of sales, what was the amount of actual sales

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.

  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!

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