Marichal Company issues a 3-year, zero-interest-bearing $60,000 note. The interest rate used to discount the zero-interest-bearing note

Question:

Marichal Company issues a 3-year, zero-interest-bearing $60,000 note. The interest rate used to discount the zero-interest-bearing note is 8%. What are the cash proceeds that Marichal Company should receive?

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For answer-question

Accounting Principles

ISBN: 978-0470534793

10th Edition

Authors: Jerry J. Weygandt, Paul D. Kimmel, Donald E. Kieso

See More Books

Question Posted: Sep 26, 2022 08:28 AM

See More Questions

Why is the rate used to discount FCFF different from the rate used to discount FCFE?
In terms of the discount rate used to evaluate future cash flows, practically and theoretically, of what should the discount rate consist of, given that markets are not perfect?
A seven-year, $10 000 promissory note bearing interest at 8% compounded quarterly is discounted four years after the date of issue at 7% compounded semi-annually. What are the proceeds of the note?
One current practice is to calculate the years remaining for a depletable resource by taking the prevailing estimates of current reserves and dividing it by current annual consumption. How useful is...
Why is it important for companies to have a strategy in place concerning collaboration? What should the strategy involve?
Without solving, determine the character of the solutions of each equation in the complex number system. 4x 2 + 12x + 9 = 0
In 1951, DuPont began using the chemical perfluorooctanoic acid to manufacture Teflon. Due to the dangerous nature of the chemical, DuPont was given special instructions by its supplier to dispose of...
You have been asked to prepare a December cash budget for Ashton Company, a distributor of exercise equipment. The following information is available about the companys operations: (a) The cash...
IQ scores (as measured by the Stanford-Binet intelligence test) are normally distributed with a mean of 100 and a standard deviation of 16. What percentage of the population has an IQ score between...
Data analytics is the process of examining data sets in order to draw conclusions about the information they contain. If you have not completed any of the prior data analytics cases, follow the...
Polley Company sold a 5-year, zero-interest-bearing $36,000 note receivable to Valley Inc. Valley wishes to earn 10% over the remaining 4 years of the note. How much cash will Polley receive upon...
Colaw Company is considering investing in an annuity contract that will return $40,000 annually at the end of each year for 15 years. What amount should Colaw Company pay for this investment if it...
What are some potential legal and privacy issues that could arise when posting to a corporate blog? Discuss how you are protected by the First Amendment when posting to a corporate blog.
EXERCISE 5-2. Identifying inline elements This little post for the Black Goose Bistro News page will give you an opportunity to identify and mark up a variety of inline elements. See if you can find...
Hassan is a mutual fund investor who wanted to avoid receiving dividend and interest income from his funds in order reduce his annual tax payable. Consequently, he enrolled in a dividend reinvestment...
Diego and Gael approve each other's reimbursement requests. Their collusion of fictitious receipts allows their fraud to go undetected for some time. Which element of the fraud triangle is most...
Your client's job requires 7,500 sheets of Standard Newsprint in size 21x29 inches. The paper vendor's invoice tells you that the paper is 50M 21x29. What is the weight of the entire order of 7,500...
You establish an asset mix of 50% stocks, 30% bonds and 20% cash for your client's $400,000 portfolio. At the end of the year, equities were $180,000, bonds were $132,000 and cash was $80,000. What...
Assume that your system is using JDK 1.2. Show the rules (similar to those in Figure 9-40) you will use to allow an applet from www.appletsRus.com to run on your machine. This applet may download...
The power company must generate 100 kW in order to supply an industrial load with 94 kW through a transmission line with 0.09  resistance. If the load power factor is 0.83 lagging, find the...
Waterville Company uses the internal rate of return method. What is the decision rule for this method?
Orasco Company is considering purchasing new equipment for $450,000. It is expected that the equipment will produce net annual cash flows of $55,000 over its 10-year useful life. Annual depreciation...
Asaki Company accumulates the following data concerning a proposed capital investment: cash cost $220,000, net annual cash flows $40,000, present value factor of cash inflows for 10 years 5.65...
Referring to the figure below determine the difference in pore water pressure between points A and A'. Referring to the figure below determine the difference in pore water pressure between points D...
Consider the nonlinear system with a cubic term = (3) with initial condition (0) = 1. Using DSolve (In Mathematica) I was able to find that the solution is +1 x(t)= = 2t-c where c is a constant that...
Compute the following for the function defined below. Simplify your answers. Note: Use lowercase letters in your answers. f(x) = 3x2-2x+8 (a) f(a) = (b) f(a+h) - = (c) f(a+h) -f(a)= (d) f(a + h) f(a)...

Marichal Company issues a 3-year, zero-interest-bearing $60,000 note. The interest rate used to discount the zero-interest-bearing note

Question:

Step by Step Answer:

Marichal Company should receive 54828 for the cash proceeds of t...View the full answer

Accounting Principles

Students also viewed these Business questions