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goldfiish [28.3K]
1 year ago
15

On January 1, 2021, Tropical Paradise borrows $43,000 by agreeing to a 6%, five-year note with the bank. The funds will be used

to purchase a new BMW convertible for use in promoting resort properties to potential customers. Loan payments of $831.31 are due at the end of each month with the first installment due on January 31, 2021.
Required:
Record the issuance of the installment note payable and the first two monthly payments.
Business
1 answer:
zhenek [66]1 year ago
5 0

Answer and Explanation:

The Journal entry with their narrations is shown below:-

1. Cash  Dr,                          $43,000

   To Notes Payable                            $43,000

(Being Cash is recorded)

2. Interest expenses Dr,    $215

($43,000 × 6% ÷ 12)

Notes payable Dr,            $616.31

       To Cash                                            $831.31

(Being  Interest expenses is recorded)

3. Interest expenses Dr,    $211.92

($43,000 - $616.31) × 6% ÷ 12)

Notes payable Dr,            $619.39

       To Cash                                            $831.31

(Being Interest expenses is recorded)

Therefore we have recorded the issuance of the installment note payable and the first two monthly payments.

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4. Describe two methods you would use to find potential employees if you were in charge of advertising a job for a company. Expl
Novosadov [1.4K]

Answer:

If I had to take responsibility for advertising job for a company, there would be two possible methods that I use:

The first option is to post the job advertisement on social network or the website of the company. This can help approach the candidates who have already known about the company and concerned about the job opportunity here.

The second choice is to cooperate with a headhunter agency. By this method, the process that I have to be in charge of would be shorter, saving the time. In addition, headhunter companies have huge data of candidates and can approach much more than a company or a recruiter could do. They also have experience in screening the CV, interview to look for the most suitable candidates.

5 0
1 year ago
In the company's accounting system all fixed expenses of the company are fully allocated to products. Further investigation has
PSYCHO15rus [73]

Answer:

= $132,000.

Explanation:

There are two types of fixed costs, general fixed cost and specific fixed cost.

<u><em>General fixed costs </em></u><em>are those that cannot be traced to a specific product rather they are incurred for the benefit of all of the product being produced. For example,the rent of the factory where three products are being produced</em>

So they are unavoidable should a product be ceased for production that is they would still be incurred either way.

<u>S</u><u><em>pecific fixed costs </em></u><em>are those incurred specifically for a particular product and as such they would be saved should the product be discontinued. For example , if a special machine  that cost $4000 a month to rent is used to produce a product. The $4000 would be saved should the production of the product ceases</em>

The net operating cost of the company would increase by the amount of the avoidable specific fixed cost:

=$90,000 + $42,000

= $132,000.

3 0
2 years ago
On January 1, 2017, Doone Corporation acquired 70 percent of the outstanding voting stock of Rockne Company for $672,000 conside
bogdanovich [222]

Answer:

Question a:

The non-controlling interest of Rockne´s 2018 net income is $111,000.- calculated by taking 30% of Rockne´s net income of $370,000.-  

Question B:

There are 3 entries required to eliminate te sale of goods form rochne to doone.  

The first entry eliminates the sales recorded by rockne against te inventory or cost of goods sold by recorded by doone.  To consider, the 60% of the purchases went trhough cost of good sol d and 40% of the purchases remain in inventory until the following year.  Here is the engru:

Debit/sales/$530

Credit/COGS/ ($318) 60%

Credit inventory ($212) 40%

The next entry has to do with the amount of inventory that remained from the last intercompany transaction.  This is caclulated usin 40% of 2017 sales, which were $430.   So:

Debit inventory $172

Credit Cogs  ($172)

The last part is to eliminate the recievable on the book of rockne when they made te sale

Debit Payable $530

Credit receivable ($530)

6 0
1 year ago
Suppose Asarta Inc. is polluting yucko and they have been tasked with cleaning up some of their waste. The company decides to cl
uranmaximum [27]

Answer: The answer is No, because the MB > MC

Explanation:

They are not cleaning up enough because the MB>MC. Therefore, all other options which cut across - Yes, because the MC > MB,

No, because the MB > MC,

Yes, because the MB > MC and

No, because the MC > MB are wrong.

5 0
1 year ago
Sarah just completed her 1040EZ tax return form and double-checked it. Now she should _____.
malfutka [58]
Send to IRS by April 15
6 0
2 years ago
Read 2 more answers
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