In 17/12/2019, Company (A) purchased an equipment at price 100,000 $ in the contract 75,000 will...

 

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In 17/12/2019, Company (A) purchased an equipment at price 100,000 $ in the contract 75,000 will paid cash and the rest will be in 5 equal payment annually each one 25,000 $, the first one maturity in 17/12/2020. The value of each 5,000 of which bear no interest rate, bearing in mind that the interest rate on this type of operations is 8% annually and the company has made payments on the agreed dates. If the present value factor for 5 payments at 8% rate of interest is 3.9927. find the recognized interest expense in 17/12/2021? In 17/12/2019, Company (A) purchased an equipment at price 100,000 $ in the contract 75,000 will paid cash and the rest will be in 5 equal payment annually each one 25,000 $, the first one maturity in 17/12/2020. The value of each 5,000 of which bear no interest rate, bearing in mind that the interest rate on this type of operations is 8% annually and the company has made payments on the agreed dates. If the present value factor for 5 payments at 8% rate of interest is 3.9927. find the recognized interest expense in 17/12/2021?

Answer rating: 100% (QA)

To calculate the recognized interest expense in 17122021 we need to determine the amount of inte... View the full answer