Ramsey accepts a $1,000,000, 8 note on January 1, 2019, in exchange for merchandise The note is due in 5 years and requires the customer to pay interest quarterly, beginning March 31, 2019 Principal will be received at maturity The customers normal borrowing rate is 12 Determine the amount of Sales Revenue Ramsey can recognize on Jan 1, 2019 $ Question 2 Using the information in 1 above, determine the carrying value of the Note Receivable at December 31, 2021 $ Question 3 Using the information in 1 above, determine the Total Interest Revenue Ramsey will earn over the entire 5 year lending agreement

The Answer is in the image, click to view ...

Question: Ramsey . accepts a $1,000,000, 8% note on January 1, 2019, in exchange for merchandise. The note is due in 5 years and requires the

Ramsey . accepts a $1,000,000, 8% note on January 1, 2019, in exchange for merchandise. The note is due in 5 years and requires the customer to pay interest quarterly, beginning March 31, 2019. Principal will be received at maturity. The customers normal borrowing rate is 12%.

Determine the amount of Sales Revenue Ramsey can recognize on Jan 1, 2019:$_____________

Question 2

Using the information in #1 above, determine the carrying value of the Note Receivable at December 31, 2021: $_________________

Question 3

Using the information in #1 above, determine the Total Interest Revenue Ramsey will earn over the entire 5-year lending agreement:

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock blur-text-image

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!

Long-Term Notes Receivable. Use the following present value tables to help answer the following questions. *Do not round any answer until your final answer. Round your final answer to the nearest...

PV of $1 Periods 2% 3% 6% 8% 12% 94232 91514 88900 83962 79383 90573 86261 82193 74.726 68058 56743 85349 78941 73069 62741 54027 40388 10 82035 74409 67556 55839 46319 32197 20 67297 55368 45639...

Hello, I study accounting and I have couple practice questions to be answered. I would appreciate it if you could check and let me know if you could help me out on these and I have more. I look...

Working on a final paper evaluating General Motors Co, corporate performance. Attached is the outline of the assignment along with GM financial annual statement. Evaluation of Corporate Performance...

its clear JOURNAL Score: 201/336 ACCOUNTING EQUATION DESCRIPTION POST. REF CREDIT ASSETS LIABILITIES DATE Dec. 31 DEBIT 18,000.00 EQUITY 1 1 Bad Debt Expense 2 Allowance for Doubtful Accounts...

Completed first part, need help on rest ! Cuckor Question Preparation Guide Ch889 de gestions will be used in as based on your completion of this preparation guide you will not have time to complete...

Due - Mar 15, 2021 Financial Statement Analysis Problem-A Comparative Analysis of Walmart Inc. and Target Corporation Description You have been hired by a local investment bank to provide a financial...

A B 02 D E F G H 1 3 4 PARTI After passing the accreditation for the practice of engineering, Razul Burahan, decided to practice his profession. On January 1, 2019, he created a business named 'RB...

1. Theoretically, which of the following costs incurred in connection with a machine purchased for use in a company's manufacturing operations would be capitalized? Insurance on machine while in...

Select the company AB Tower, meet their hr representative and interview him or her about the hiring and staffing best practices employed by his or her organization. Complete a paper on your personal...

Three point charges each carrying a charge q are placed on the vertices of an equilateral triangle of side L. The electrostatic potential energy of the configuration is: 1 g 1 g L 2 q L 3 q L L...

When assessing the sensitivity of stock price estimates to cost of equity and long - run growth rate assumptions, which assumption is more important?

Hypothesis Testing of a Single Mean LCTCS Tuition: Louisiana Community And Technical College System consist of 2 community colleges across the state. I think RPCC's tuition and fees is lower than the...

Analyze the impact of labor unions on health care.

Assess three motivational theories as they apply to health care.

Discuss the history of U.S. labor unions.