Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. on january 1, 2021, xyz corporation sold equipment

On January 1, 2021, XYZ Corporation sold equipment that had a cost of $350,000 and...

80.2K

Verified Solution

Question

Accounting

On January 1, 2021, XYZ Corporation sold equipment that had a cost of $350,000 and accumulated depreciation of 128,000 to ABC. XYZ received as consideration a down payment of $100,000 and a $200,000 non-interest-bearing note due on December 31, 2024. The prevailing rate of interest for a note of this type on January 1, 2021, was 4%.

image

image

3. what is the total interest revenue that would be recognized over the life of the note by XYZ?

please show work. thanks

art B on January 1, 2021, XYZ Corporatior XYZ received as consideration a down payment of $100,000 and prevailing rate of interest for a note of this type on January 1, 2021, was 4% Present Future Present Yale ! value of an value of an ordinary ordinary anty annuity doe 424546 3.62990 3.77509 45 insulty Future Present Value of 1 value of 1 0.85480 1.18986 4 One Debit 1.) 1.) Prepare the journal entry to record XYZ Co.'s sale of equipment on 01.01.2L (9pts) Account Title pare the jou Debit Account Title Credit Debit 2.) Prepare the journal entry(s) for year ended 12/3122(Le end of the second year), if any, associated with this sale of equipment (dprt) Account Title pized over the life of the note by XYZ? (2pcs)

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Zin AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Q

Exam K The following is a set of data from a sample of n 5...

Statistics
Q

Explain what effect a lack of functional androgen receptors would have on the development of the...

Medical Sciences
Q

Hong Kong was ranked the second most sustainable city in Asia after Singapore according to Arcadis’ Sustainable...

Civil Engineering
Q

In a solar hot water heater, oil is used Using the \"effectiveness - NTU\" function in...

Mechanical Engineering
Q

Let P = (p1,...,pn) be a permutation of [n]. We say a number i is a...

Advance Math
Q

Joe is trying to determine if taking vitamins will help his headaches and goes to...

Basic Math
Q

Determine whether the pair of lines are parallel, perpendicular, or neither.2x-5y +3=0 and 15y =...

Basic Math
Q

A quality control manager randomly selects 40 bottles of vinegar that were filled on January...

Statistics
Q

population is modeled by the differential equation N 1 3N 1 4400 dN dt where...

Calculus
Q

Name When is a x d x What does this mean Find a 5 What...

Algebra
Q

5. Sprinkle Inc. has outstanding 10,000 shares of $10 par value common stock. On July...

Accounting
Q

a) Critically discuss whether the Capital Assets Pricing Model (CAPM) makes Portfolio Theory redundant. (7...

Finance