Business, 15.04.2020 00:23 princessa15266

On December 1, 2018, your company borrowed $15,000, a portion of which is to be repaid each year on November 30. Specifically, your company will make the following principal payments: 2019, $2,000; 2020, $3,000; 2021, $4,000; and 2022, $6,000. Show how this loan will be reported in the December 31, 2019 and 2018, balance sheets, assuming principal payments will be made when required.

Answers: 1

Show answers

Answers

Answer from: emfranco1

The loan will be reported in the December 31, 2019 and 2018, balance sheets as:

Balance sheet as of December 31 2019

Current liabilities

Current portion of long term debt $3,000

Long term liabilities

Long term debt $10,000

[$15,000-($2,000+$3,000)]

Total liabilities $13,000

($3,000+$10,000)

Balance sheet as of December 31 2018

Current liabilities

Current portion of long term debt $2,000

Long term liabilities

Long term debt $13,000

($15,000-$2,000)

Total liabilities $15,000

($2,000+$13,000)

Learn more here:

link

Answer from: sharkboy3780

Explanation:

The loan will be reported in the December 31, 2019 and 2018, balance sheets, is shown below:-

Balance sheet(Partial)

As of December 31

2016 2015

Current liabilities

Current portion of long term debt $3,000 $2,000

Long term liabilities

Long term debt $10,000 $13,000

Total liabilities $13,000 $15,000

On December 2018 we represent the current liability of $2,000 loan because of year 31 December 2019 within of one year and the left portion of the loan represent as long term liability because it is not within one year from the balance sheet.

On December 2019 Loan remains outstanding $13,000 ($2,000 repaid on November 2019) from this amount, on November 30, $3,000 is due. So, $3,000 should be represented as current liability and the left balance $10,000 represented as long term debt.

Answer from: Quest

Are legally capable of doing everything a neurologist can do with a patient in most states.

Answer from: Quest

answer: kevoto

explanation: be healthy

Another question on Business

Business, 22.06.2019 08:30

Acompany recorded a check in its accounting records as $87. however, the check was actually written for $78 and it cleared the bank as $78. what adjustment is needed to the personal statement? a. decrease by $9 b. increase by $9 c. decrease by $18 d. increase by $9

Answers: 2

Answer

Business, 22.06.2019 15:30

Calculate the required rate of return for climax inc., assuming that (1) investors expect a 4.0% rate of inflation in the future, (2) the real risk-free rate is 3.0%, (3) the market risk premium is 5.0%, (4) the firm has a beta of 2.30, and (5) its realized rate of return has averaged 15.0% over the last 5 years. do not round your intermediate calculations.

Answers: 3

Answer

Business, 22.06.2019 17:00

Afinancing project has an initial cash inflow of $42,000 and cash flows of −$15,600, −$22,200, and −$18,000 for years 1 to 3, respectively. the required rate of return is 13 percent. what is the internal rate of return? should the project be accepted?

Answers: 1

Answer

Business, 22.06.2019 22:50

For 2016, gourmet kitchen products reported $22 million of sales and $19 million of operating costs (including depreciation). the company has $15 million of total invested capital. its after-tax cost of capital is 10%, and its federal-plus-state income tax rate was 36%. what was the firm’s economic value added (eva), that is, how much value did management add to stockholders’ wealth during 2016?

Answers: 1

Answer

You know the right answer?

On December 1, 2018, your company borrowed $15,000, a portion of which is to be repaid each year on...

Questions