Notes Payable

On 1/1/2020, Jonas Corp. also issued an 8%, 2-year note for $120,000, with annual payments of $67,293.50 due on December 31 of each year. Tip: if you open this document in Word, you can use the Excel table to auto calculate amounts with formulas. a. Prepare an amortization schedule

b. What is the total amount of interest paid by Jonas Corp over the life of the note?

c. Using only the information in this problem, what is the amount of long -term (non current) liabilities reported on Jonas Corp.'s 12/31/2020 balance sheet?

d. What is the entry made by Jonas Corp. on 12/31/2021 to record payment on the note?

e. Jonas Corp. is also looking for a flexible debt agreement that allows them to borrow money and repay it at will. What type of debt would best serves their needs?

On 1/1/2020, Jonas Corp also issued an 8%, 2-year note for $120,000, with annual payments of $67,293 50 due on December 31 of each year. Tip: if you open this document in Word, you can use the Excel table to auto calculate amounts with formulas. a Prepare an amortization schedule Year Beg. Balance Payment Interest Principal End. Balance 12/31/2020 12/31/2021 b. What is the total amount of interest paid by Jonas Corp over the life of the note? I c. Using only the information in this problem, what is the amount of long-term (non- current) liabilities reported on Jonas Corp.'s 12/31/2020 balance sheet? d. What is the entry made by Jonas Corp. on 12/31/2021 to record payment on the note? e. Jonas Corp is also looking for a flexible debt agreement that allows them to borrow money and repay it at will. What type of debt would best serves their needs? Diracus