Question: An entity issues the following notes payable on January 1, 20x1: A. P5,000,000 non-interest bearing note payable due on December 31, 20x4. B. P4,000,000 non-interest
An entity issues the following notes payable on January 1, 20x1: A. P5,000,000 non-interest bearing note payable due on December 31, 20x4. B. P4,000,000 non-interest bearing note payable due in four equal annual installments every December 31. C. P8,000,000 non-interest bearing note payable due in five equal annual installment every January 1. The first installment is due on January 1, 20x1. The effective rate of interest in all of the notes above is 15%. Requirement: Prepare the amortization table for each of the notes payable above.
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
