On January 1, 2020, Thames Company purchases a vehicle and signs a six-year loan for $60,000 at
Question:
On January 1, 2020, Thames Company purchases a vehicle and signs a six-year loan for $60,000 at 4 percent. Their accountant started the following table:
a. Complete the partial amortization schedule assuming they will make a blended monthly payment of $980. Round all amounts to two decimal places.
b. At the end of 2020, what amount would be shown on the balance sheet for the current portion of the loan?
А B D E F Blended Beginning Monthly Interest Principal Balance Ending Payment Expense Payment Balance 1 Period 2 Jan. 1, 2020 60,000.00 3 Jan. 31, 2020 4 Feb. 29, 2020 5 Mar. 31, 2020 6 Apr. 30, 2020 7 May 31, 2020 8 Jun. 30, 2020
Step by Step Answer:
Horngrens Accounting
ISBN: 9780135359785
11th Canadian Edition Volume 2
Authors: Tracie Miller Nobles, Brenda Mattison, Ella Mae Matsumura, Carol A. Meissner, Jo Ann Johnston, Peter R. Norwood
Related Video
An amortization schedule (sometimes called an amortization table) is a table detailing each periodic payment on an amortizing loan. Each calculation done by the calculator will also come with an annual and monthly amortization schedule above. Each repayment for an amortized loan will contain both an interest payment and payment towards the principal balance, which varies for each pay period. An amortization schedule helps indicate the specific amount that will be paid towards each, along with the interest and principal paid to date, and the remaining principal balance after each pay period
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