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Statement about installment loans is not true?
Installment loans are loans on which the interest is paid first and the borrower receives the proceeds.
What is the definition of commission in math terms?
In math terms commission is the amount of money a salesclerk receives on a sale. A salesclerk receives a commission with their salary.
The group that receives the independent variable?
psychologists
XY Makes a loan to TZ and receives in exchange a three-year 50000 note bearing interest at a 9 percent annual rate paid annually The market rate of interest for similar notes 11 percent . Journalize?
First, find the present value of the note.We use the present value of a lump sumPV = FV/(1+r)^twhere R is the market rate of interest (11%), T is the number of years (3), and FV is the future value of the note (50,000)Plus the present value of an ordinary annuity (the 9% of 50,000 annually represents an annuity, which we will use for the PMT):PV = PMT x (1- [1 / (1+r)^t] / r )That will tell us how much of a premium or discount to record (in this case it should be a discount) by subtracting the total of the two formulas from 50,000.The journal entry should look like this for the company making the loan:Notes Receivable---Discount on Notes Receivable---CashThen, every year, we amortize that by finding 11% of the carrying value of the note (Total PV we calculated x the market rate of interest). Whatever cash we pay (9% of 50,000) is subtracted from it as our interest component of that number. The remainder is amortized.The journal entry should look a lot like this:CashDiscount on Notes Receivable---Interest Revenue---Notes Receivable
What musical note receives 3 beats or counts?
A musical note that contains three beats is called a dotted half note.
When a borrower receives a discount loan the interests total is subtracted from the principal and the borrower receives the remainder. What is the remainder of the loan called?
loan proceeds
When a borrower receives a discount loan the interest total is subtracted from the principal and the borrower receives the remainder what is remainder of the loan called?
loan proceeds
When a borrower receives a discount loan the interest total is subtracted from the principal and the borrower receives the remainder. What is the remainder of the loan called?
loan proceeds
When a borrower receives a discount loan the interest total is subtracted from the principal and the borrower receives the remainder what is the remainder of the loan called?
aplus loan proceeds
When a borrower received a discount loan the interest total is subtracted from the principal and the borrower receives the remainder what is the remainder of the loan called?
loan proceeds
When a borrower receives the face amount of a discounted note less interest the amount is known as?
When a borrower receives the face amount of a discounted note less interest the amount, this is known as a discount loan. A discount loan is not actually discounted in the traditional sense.
What is loan discount?
A pure discount loan is the simplest form of a loan. With such a loan, the borrower receives money today and repays a single lump sum in the future. A one year 10% pure discount loan, for example would require the borrower to repay $1.10 in one year for every dollar borrowed today. Hope this helps!
What is pure discount loan?
A pure discount loan is the simplest form of a loan. With such a loan, the borrower receives money today and repays a single lump sum in the future. A one year 10% pure discount loan, for example would require the borrower to repay $1.10 in one year for every dollar borrowed today. Hope this helps!
What is interestrate?
An interest rate is the rate at which interest is paid by a borrower for the use of money that they borrow from a lender. For example, a small company borrows capital from a bank to buy new assets for their business, and in return the lender receives interest at a predetermined interest rate for deferring the use of funds and instead lending it to the borrower. Interest rates are normally expressed as a percentage of the principal for a period of one year
Is bank loan an asset?
A bank loan is an asset for the bank as bank receives interest and principle payments from borrower.
What is Contractual interest rate on a bond?
The contractual interest rate is the rate at which the borrower pays and the investor receives are determined.
Statement about installment loans is not true?
Installment loans are loans on which the interest is paid first and the borrower receives the proceeds.
