Is borrowing cost equal to interest expense on the statement of performance?
554402
No, the actual cost of borrowing is less because you get the tax shield on the interest expense.  So, the cost of debt is (1 - tax rate) * interest expense.
602391
The project cost is fixed capital plus an working capital cycle.The working capital cycle may be the operating cost required for an year/period.In project financing, the scale of finance is determined as the capitalised cost which include fixed assets plus the working capital required for an year or a stipulated period or whichever is appropriate
162629
This is really not a difficult question.  If this is tough, the rest of the course will only get worse.  \n\nHowever, you can figure it out by this:\n\nWACC = (Percentage Equity * Cost of Equity) + (Percentage debt * Cost of Debt * (1-Tax))\n\nHopefully that helps.
169932
Income statement has revenue, expenses and the diffrent between revenue and expenses-net income. That is net income will be shown in the equity part of the balance sheet. (Begginning Retained Earning + Net income = Ending Retained Earning)
182514
It dosen't represent cash flow, so a cash flow statement must be made. You account for thengs you might not get. example you sell stuff on account, in accural you put it into a recievables accout, with increases your equity, however there is a chance you don't collect because they dan't pay. \n\nI am not sure which is the Primary but those are dissadvantages.
112642
No, you can claim expenses once they are paid, not incurred.  I beleive payment is consider to be made when you either sign the check or a credit card statement making the payment.
155397
There is no standard answer, as rates change daily. It depends on how aggresive the bank wants to be, and the loan officer.  When comparing rates, you should do so on the same day. The 2 important questions you need to ask is the rate on that specific day, and the amount of ALL closing costs. A lot of lenders (particularly brokers and on-line mortgage companies) only include THEIR closing costs, and not outside 3rd party costs such as attorney fees, title insurance, recording fees, appraisals. etc.
124590
Well the PF that is deducted is paid in 2 tranches, check if you got both your tranches also.\n\nYou should ideally get your share + Company share + interest
131390
You would list the entire balance of what is still owed at the date of the balance sheet.\n\nThe balance sheet is a snapshot in time of the company assets, liabilities, and equity.\n\nThe amount of the monthly payment would be deducted from the total balance of what is owed each time...but in the balance sheet you list all of what is still owed.\n\nHowever, if you are doing a classified balance sheet, you would list only what is owed within a year in the "current assets" section, and the rest in the "long term liabilities" section.
852142
No.  That's totally and utter jibberish.  Your first tip that the previous answer is wrong is that taxes and expenses are not even on the balance sheet.  Secondly, liabilities are credited, not debited.  Third, well... third is that it just doesn't make any sense. \n\nHere's what it is...\n\nThe difference is basically between "US" and "UK" style presentation of the balance sheet.\n\nThe UK uses "Net Assets", which is assets minus liabilities on one side balanced by equity on the other side.  The balance sheet balances, but it basically analyzes it from an equity holder's perspective (e.g. "where did my money go?")\n\nThe US uses "Total Assets", which is assets.  The other side is balanced by liabilities and equity. The balance sheet balances, but it analyzes it from a corporate perspective (e.g. "I have all this stuff, but how did I finance it?").
1057849
(Since you're talking about the IRS, I must put up a disclaimer that this advice is worth what you paid for it.  Nothing.)\n\nIf you have records showing how much you paid for the stock when you bought it, the amount you paid is your cost basis.
972565
If there's something inaccurate on your report that you can't get changed, or if you want to explain something (you couldn't pay your bills because of serious illness, ect) you can add a statement. It doesn't change your score, though. Plus, most lenders don't look at them anyway.
913463
12%\n\nThe rate paid on the loan is 12% (assuming simple interest rather than compounding). The compensating balance is just cash kept as a deposit, which the company gets back.  This doesn't affect the interest on the loan - just opportunity cost.
72513
when your statement comes in take the ending balance they give you and subtract any debt that hasnt come in add any deposit they have not posted this is your correct balance they have already given you any interest and taken any charges .  if you do not have your statement yet the bank will give you a read out wich is all your current activity that will work
131700
They can charge you the difference, then tack on hundreds of dollars in other fees like storage fee, tow charge, etc... I believe they can continue to collect interest as well.
865121
No.  The other way around.\n\nCredit closing stock $2,200\nDebit an operating expense $2,200 - or accrued receivables if the person drawing down the stocks is going to owe the company.\n\nRemember debiting an asset means MORE of the asset, not less. "Drawings" sounds like a made up liability or expense.  It's an expense if the person doesn't owe it back.  It's a accrued receivable if they owe it back (and it's accrued receivable instead of accounts payable because it isn't invoiced).
762730
You should check on a line of credit.  It costs about 1-2% of these amounts to extend credit depending upon the terms.  It is quite possible they were losing money on these because it costs them every time they write the paper.  Banks have very thin margins.  It takes a lot of money to just make a little.  A 10,000 loan not paid down and paid in 365 days on average yields 100-150 dollars total.  Every transaction costs money.  Each cleared check costs money.  Each contract costs money.  It is quite possible it isn't worth their time.