On April 10, Amy agreed to buy a riding lawn mower from Mowers Plus, signing a promissory note and security agreement giving Mowers Plus a security interest in the mower. On April 15, Amy took delivery of the mower. On May 1, Mowers Plus filed a financing statement. Which of the following is correct?
a. Despite the agreement, Mowers Plus could not create a security interest in the mower since it is a consumer good.
b. Mowers Plus has attachment of a security interest in Amy's mower.
c. Mowers Plus completed the attachment of a security interest in the mower when it filed the financing statement on May 1.
d. The security interest has not attached, but attachment is unimportant to enforceability of a security interest.
b
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Compute the total cash receipts.
Boulevard, Inc. uses the direct method to prepare its statement of cash flows. Use the following information reported for 2019: Sales Revenue, $43,000 Interest Revenue, $600 Accounts Receivable, beginning balance, $13,400 Accounts Receivable, ending balance, $26,000 There were no amounts reported for Interest Receivable. A) $26,000 B) $56,400 C) $31,000 D) $13,400
Don wants to know how much he needs to save every year to amass $15,000 in five years at a 5% interest rate. What is he calculating using his financial calculator?
A) Present value B) Future value C) Interest rate D) Payment
On January 2, 20X8, Polaris Company acquired a 100% interest in the capital stock of Ski Company for $3,100,000. Any excess cost over book value is attributable to a patent with a 10-year remaining life. At the date of acquisition, Ski's balance sheet contained the following information: Foreign CurrencyUnits (FCU)Cash 40,000 Receivables (net) 150,000 Inventories (FIFO) 500,000 Plant and Equipment (net) 1,500,000 Total 2,190,000 Accounts Payable 200,000 Capital Stock 600,000 Retained Earnings 1,390,000 Total 2,190,000 Ski's income statement for 20X8 is as follows: Foreign CurrencyUnits (FCU)Revenues from Sales 1,010,000 Cost of Goods Sold (590,000) Gross Margin 420,000 Operating Expenses (exclusive of
depreciation) (120,000) Depreciation Expense (200,000) Income Taxes (40,000) Net Income 60,000 The balance sheet of Ski at December 31, 20X8, is as follows: Foreign CurrencyUnits (FCU)Cash 180,000 Receivables (net) 210,000 Inventories (FIFO) 520,000 Plant and Equipment (net) 1,300,000 Total 2,210,000 Accounts Payable 180,000 Capital Stock 600,000 Retained Earnings 1,430,000 Total 2,210,000 Ski declared and paid a dividend of 20,000 FCU on October 1, 20X8. Spot rates at various dates for 20X8 follow: January 21 FCU=$1.50 October 11 FCU=$1.60 December 311 FCU=$1.70 Weighted Average1 FCU=$1.55 ?Assume Ski's revenues, purchases, operating expenses, depreciation expense, and income taxes were incurred evenly throughout 20X8.Refer to the above information. Assuming Ski's FCU is the functional currency, what is the amount of translation adjustment that appears on Polaris's consolidated financial statements at December 31, 20X8? A. $405,884 debit B. $398,500 credit C. $419,184 credit D. $416,884 credit
Luther Industries is offered a $1 million dollar loan for four months at an APR of 9%. If this loan has an origination fee of 1%, then the effective annual rate (EAR) for this loan is closest to ________
A) 12.0% B) 12.6% C) 4.1% D) 13.8%