Question

Sheldon borrowed $30,000 from the First National Bank of Bloomington on January 1, 2020. This loan...

Sheldon borrowed $30,000 from the First National Bank of Bloomington on January 1, 2020. This loan is amortized over 3 equal annual payments using an annual interest rate of 10.00%. The first annual payment of $12,063.44 is due on January 1, 2021. What amount of the first loan payment due on January 1, 2021 is interest?

Business   Finance   
0 0
Add a commentTranscribed image text
Next >

Homework Answers

Answer #1

Answer 3000

0 0
Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
Meyer borrowed $75,000 from the First National Bank of Bloomington on January 1, 2020. This loan...
Meyer borrowed $75,000 from the First National Bank of Bloomington on January 1, 2020. This loan is amortized over 5 equal annual payments using an annual interest rate of 5.00%. The first annual payment of $17,323.11 is due on January 1, 2021. What amount of the loan payment due on January 1, 2022 (ie second annual payment) is interest and what amount is reduction of principal?
On January 1, 2020, ABC Company borrowed $200,000 from the bank. The loan is a 10-year...
On January 1, 2020, ABC Company borrowed $200,000 from the bank. The loan is a 10-year note payable that requires semi-annual payments of $24,000 every June 30 and December 31, beginning June 30, 2020. Assume the loan has a 20% interest rate, compounded semi-annually. Calculate the amount of the note payable at December 31, 2020 that would be classified as a long-term liability.
On January 1, 2019, ABC Company borrowed $100,000 from the bank. The loan is a 15-year...
On January 1, 2019, ABC Company borrowed $100,000 from the bank. The loan is a 15-year note payable that requires annual payments of $13,000 every December 31, beginning December 31, 2019. Assume the loan has an interest rate of 10% compounded annually. Calculate the amount of the note payable at December 31, 2021 that would be classified as a current liability.
On January 1, 2019, ABC Company borrowed $120,000 from the bank. The loan is a 7-year...
On January 1, 2019, ABC Company borrowed $120,000 from the bank. The loan is a 7-year note payable that requires annual payments of $24,500 every December 31, beginning December 31, 2019. Assume the loan has an interest rate of 10% compounded annually. Calculate the amount of the note payable at December 31, 2020 that would be classified as a current liability.
National Food Services, Inc., borrowed $7.8 million from its local bank on January 1, 2021, and...
National Food Services, Inc., borrowed $7.8 million from its local bank on January 1, 2021, and issued a 4-year installment note to be paid in four equal payments at the end of each year. The payments include interest at the rate of 10%. Installment payments are $2,460,672 annually. Required: What would be the amount(s) related to the note that National would report in its statement of cash flows for the year ended December 31, 2021? (List each cash flow separately....
On January 1, 2019, ABC Company borrowed $120,000 from the bank. The loan is a 7-year...
On January 1, 2019, ABC Company borrowed $120,000 from the bank. The loan is a 7-year note payable that requires annual payments of $24,500 every December 31, beginning December 31, 2019. Assume the loan has an interest rate of 10% compounded annually. Calculate the balance in the note payable account at December 31, 2020.
Janet wanted to buy a car so she borrowed a $10,000 from HSBC Bank at a...
Janet wanted to buy a car so she borrowed a $10,000 from HSBC Bank at a 10% annual rate of interest to be repaid quarterly over 2 years. The loan is amortized into eight equal quarterly payments. a. Calculate the quarterly loan payment (A). b. Prepare the loan amortization schedule.
On 1st January 2020, a loan was issued and it was amortized over 20 years with...
On 1st January 2020, a loan was issued and it was amortized over 20 years with monthly payments at a nominal interest rate of 8.4% compounded monthly. The first payment was paid on 1st February 2020. The loan is structured in such a way that the first 120 installments will be paid in equal installments of N$6000 and the next 120 installments will be paid in such a way that each succeeding monthly payment will be 3% lower than the...
Loan amortization schedule Personal Finance Problem Joan Messineo borrowed $49,000 at a 3% annual rate of...
Loan amortization schedule Personal Finance Problem Joan Messineo borrowed $49,000 at a 3% annual rate of interest to be repaid over 3 years. The loan is amortized into three​ equal, annual,​ end-of-year payments. a.  Calculate the​ annual, end-of-year loan payment. b.  Prepare a loan amortization schedule showing the interest and principal breakdown of each of the three loan payments. c. Explain why the interest portion of each payment declines with the passage of time. a.  The amount of the​ equal,...
On January 1, 2014, Ink, Inc. borrowed $100,000 cash from Fidelity Bank on a note that...
On January 1, 2014, Ink, Inc. borrowed $100,000 cash from Fidelity Bank on a note that had a 6 percent annual interest rate and a five-year term. The loan is to be repaid in annual payments of $23,741.69 on January 1 each year. The amount of the January 1, 2015, payment applied to interest and to principal would be a. $6,000 / $94,000. b. $17,741.69 / $94,000. c. $4,935.50 / $82,258.31. d. $6,000 / $17,741.69. Answer in details please.
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT