6-34 (Algo) Present value calculations Appendix LO 6-10 Using a present value table, your calculator, or a computer program present value function, answer the following questions: See Table 6-4 and Table 6-5 Note: Use the appropriate factor by clicking on the appropriate Table links. Required: a. What is the present value of nine annual cash payments of $2,000, to be paid at the end of each year using an interest rate of 4% ? b. What is the present value of $10,000 to be paid at the end of 22 years, using an interest rate of 16% ? c. How much cash must be deposited in a savings account as a single amount in order to accumulate $300,000 at the end of 12 years, assuming that the account will earn 8% interest? d. How much cash must be deposited in a savings account (as a single amount) in order to accumulate $50,000 at the end of 10 years. assuming that the account will earn 10% interest? e. Assume that a machine was purchased for $53,300. Cash of $18,200 was paid, and a four-year, 6% note payable was signed for the balance. 1. Prepare the horizontal model and record the journal entry, to show the purchase of the machine as described. 2. How much is the equal annual payment of principal and interest due at the end of each year? 3. What is the total amount of interest expense that will be reported over the life of the note? 4. Prepare the horizontal model and record the journal entries, to show the equal annual payments of principal and interest due at the end of each year. Complete this question by entering your answers in the tabs below. Required A Required B Required C Required D Required Ela Required Elb Required E2 Required E3 E4a Required Required E4b What is the present value of nine annual cash payments of $2,000, to be paid at the end of each year using an interest rate of 4%? Note: Round your answer to 2 decimal places. (e.g., 32.16) Present value Complete this question by entering your answers in the tabs below. Required A Required B Required C Required D Required Ela Required Elb Required E2 Required E3 Required E4a Required E4b What is the present value of $10,000 to be paid at the end of 22 years, using an interest rate of 16% ? Note: Round your answer to 2 decimal places. (e.g., 32.16) Present value < Required A Required C > Complete this question by entering your answers in the tabs below. Required A Required B Required C Required D Required Ela Required E1b Required E2 Required E3 Required E4a Required E4b How much cash must be deposited in a savings account as a single amount in order to accumulate $300,000 at the end of 12 years, assuming that the account will earn 8% interest? Cash to be deposited < Required B Required D > Complete this question by entering your answers in the tabs below. Required A Required B Required C Required D Required Ela Required Elb Required E2 Required E3 Required E4a Required E4b How much cash must be deposited in a savings account (as a single amount) in order to accumulate $50,000 at the end of 10 years, assuming that the account will earn 10% interest? Cash to be deposited Complete this question by entering your answers in the tabs below. Required A Required B Required C Required D Required Ele Required Elb Required 2 Required E3 Required E48 Required E4b Assume that a machine was purchased for $53,300. Cash of $18,200 was paid, and a four-year, 6% note payable was signed for the balance. Prepare the horizontal mode Note: Use amounts with + for increases and amounts with for decreases. Assets Balance Sheet Liabilities + Stockholders' Equity Net Income Income Statement Revenues Required A Required B Required C Required D Required Ela Required Elb Required E2 Required E3 Required E4a Required E4b Assume that a machine was purchased for $53,300. Cash of $18,200 was paid, and a four-year, 6% note payable was signed for the balance. Record the journal entry, to show the purchase of the machine as described. Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account field. View transaction list Journal entry worksheet < 1 Record the purchase of a machine with a partial payment and by signing a note for the balance. Note: Enter debits before credits. Event 1 General Journal Debit Credit Record entry Clear entry View general journal Complete this question by entering your answers in the tabs below. Required A Required B Required C Required D Required Ela Required Elb Required E2 Required E3 Required E4a Required E4b Assume that a machine was purchased for $53,300. Cash of $18,200 was paid, and a four-year, 6% note payable was signed for the balance. How much is the equal annual payment of principal and interest due at the end of each year? Annual payment Complete this question by entering your answers in the tabs below. Required A Required B Required C Required D Required Ela Required E1b Required E2 Required E3 Required E4a Required E4b Assume that a machine was purchased for $53,300. Cash of $18,200 was paid, and a four-year, 6% note payable was signed for the balance. What is the total amount of interest expense that will be reported over the life of the note? Total interest payments < Required E2 Required E4a > Complete this question by entering your answers in the tabs below. Required A Required B Required C Required D Required Ela Required Elb Required E2 Required E3) Required E4a Required E4b Assume that a machine was purchased for $53,300. Cash of $18,200 was paid, and a four-year, 6% note payable was signed for the balance. Prepare the horizontal Note: Use amounts with + for increases and amounts with for decreases. each year. Year Assets 1234 Balance Sheet Liabilities) + Stockholders' Equity Net Income Income Stateme Revenues + Required A Required B Required C Required D Required: Required Required E2 Required E3 Ela Elb Required E4a Required E4b Assume that a machine was purchased for $53,300. Cash of $18,200 was paid, and a four-year, 6% note payable was signed for the balance. Record the journal entries, to show the equal annual payments of principal and interest due at the end of each year. Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account field. View transaction list Journal entry worksheet 2 3 Record the annual lease payments on a note payable for year 1. Note: Enter debits before credits. Year 1 General Journal Debit Credit Record entry Clear entry View general journal