Chapter 9 Bonds, Loan Payable, TVM Example

Chapter 9 Bonds, Loan Payable, TVM Example - If Daisy has...

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If Macon is selling a $1,000, 12% Bond and the market rate is 9% then it will see at: If the market rate is a 14% then it will sell at: Carter borrows $100,000 on March 1, 2004 for two years @ 12% w/ interest and principal due at maturity. Prepare all of the journal entries for the life of this loan. Luci borrows $500,000 on November 1, 2002 for two years @ 10% w/ interest payments due annually. Prepare all of the journal entries for the life of this loan. Connor takes out a loan on January 1, 2007 for $500,000 @ 7% to be in monthly payments of $3313 (principal = $1,389) over 30 years. o What amount should be shown as a current liability on 12/31/07? o What amount should be shown as a current liability on 12/31/08? o What amount should be shown as a non-current liability on 12/31/08?
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Unformatted text preview: If Daisy has $10,000 today that she can invest for retirement in 30 years at 6%, annual compounding, what amount should she expect to have at retirement? What if, instead, she gets a better deal at another bank that offers semi-annual compounding, how much should she expect to have? On the other hand, what if she plans on putting $5,000 away at the end of each year at the same 6% for the next 30 years, how much should she have? Bonds/Notes Payable/Current Portion LTD/ TVM What if she has a really nice grand-dog who says that she will give her $500,000 in 30 years to help fund her retirement; using that same 6%, what is that worth in present day dollars?...
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This note was uploaded on 01/17/2012 for the course ACCT 225 taught by Professor Canace during the Fall '08 term at South Carolina.

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Chapter 9 Bonds, Loan Payable, TVM Example - If Daisy has...

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