answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Advocard
10 days ago
11

Azure Inc. assigns $4,000,000 of its accounts receivables as collateral for a $3 million loan with a bank. The bank assesses a 3

% finance charge on the loan amount and charges interest on the note at 7%. What would be the journal entry to record this transaction?
Business
1 answer:
Scilla [3.5K]10 days ago
8 0
To record the transaction, initiate with a loan entry of $3 million: Debit Bank $3,000,000 and Credit Loan $3,000,000. Next, the finance charge at a rate of 3% totals $90,000: Debit Finance Charge $90,000 and Credit Bank $90,000. Finally, the interest at 7% accumulates to $70,000, leading to the entry: Debit Interest Expense $70,000 and Credit Interest Payable $70,000.
You might be interested in
Metro Company trades its used machine for a new model at Denver Solutions Inc.
Free_Kalibri [3484]

Answer:

Cost of the new machine:

= Price of new machine - Trade allowance + Market value of old machine

= $16,000 - $9,000 + $6,000

= $13,000

Consequently, the journal entry would be recorded as follows:

New Machine Cost A/c                               Dr. $13,000

Accumulated Depreciation (Book Value) A/c Dr. $4,000

Loss from machine exchange A/c                    Dr. $2,000

         To Old Machine (Book Value)                    $12,000

         To Cash (16,000 - 9,000)                        $7,000

(To document the equipment exchange)

4 0
10 days ago
The firm initially produced 500 pants and 700 shirts. If the firm decides to increase the number of shirts by 100 units, the opp
Free_Kalibri [3484]
<span>If the business opts to raise shirt production by 100 units, the corresponding opportunity cost will be 200 pairs of pants. Should the firm be at point E and choose to boost shirt output by 500 units, the opportunity cost rises to 400 pairs of pants.</span>
4 0
1 month ago
Read 2 more answers
Which of the following is NOT one of the 10 strategic operations management​ decisions? A. supply chain management B. layout str
Free_Kalibri [3484]

The answer would be Mass customization.

5 0
1 month ago
Harrington makes all sales on account, subject to the following collection pattern: 30% are collected in the month of sale; 60%
Free_Kalibri [3484]

Response:

The cash collection totals $122,000

and the amount receivable as of August 31 stands at $97,000

Clarification:

For August, the anticipated cash collection is $122,000, while the receivables amount on August 31 is $97,000.

A cash collection schedule is included in the attached MS Excel file with this response.

Download xlsx
5 0
19 days ago
You’ve dreaded it for a while, but now you feel prepared. In 30 minutes you’ll have to terminate Tim, a 12-year employee who is
Nady [3254]

Answer: Tone of communication

Explanation: The tone of voice reflects the emotions underlying your message. Even if your vocal tone remains unchanged, the way you communicate with someone matters. For instance, if you’re frustrated, your tone may come off as harsh; when you are happy, your tone may convey delight.

In summary, tone represents the demeanor of speakers when addressing their audience. It reveals the speaker's maturity and manner of handling situations.

Thus, we can conclude that tone is crucial in this scenario, as the recipient of the message can be emotionally influenced by the conveyed information.

6 0
1 month ago
Other questions:
  • A local radio station gives away concert tickets at random times everyday to reward listeners. What schedule of reinforcement ar
    5·2 answers
  • Kate has a 20-square-foot plot of land in her backyard that she uses to grow tomatoes and lettuce. Every square foot of land can
    10·2 answers
  • During a busy time at the bakery counter, a loyal customer/member stops you to chat. As he's talking, you notice a customer/memb
    7·2 answers
  • Sam and Amanda moved from Hawaii to Iowa. Their grocery budget has remained at $100 per month, but the price of their groceries
    11·1 answer
  • Hillsong Inc. manufactures snowsuits. Hillsong is considering purchasing a new sewing machine at a cost of $2.45 million. Its ex
    9·1 answer
  • You are the founder and CEO of Home Water Designs, Inc., a company that custom designs and builds expensive residential pools. Y
    14·1 answer
  • Assume that the economy has three types of people. 20% are fad followers, 75% are passive investors and 5% are informed traders.
    13·1 answer
  • On January​ 1, 2017,​ Sophie's Sunlounge owned 4 tanning beds valued at​ $20,000. During​ 2017, Sophie's bought 3 new beds at a
    5·1 answer
  • Suppose the observed annual quantity of steel exchanged in the European market is 30 million metric tons, and the observed marke
    11·1 answer
  • If a person works on a ship for a cruise line headquartered in the country where he was born and resides, then he is a Answers:
    10·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!