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On December 31, 2014, Ferrero Inc

question 64

Essay

On December 31, 2014, Ferrero Inc. borrowed $500,000 by signing a note payable. The note is for 5 years and bears interest at the rate of 8%. The note is payable in 5 yearly installments of $125,219 due at the end of every year beginning on December 31, 2015. What amount represents the current portion of Long-term Notes Payable at December 31, 2014?


Definitions:

Concentration

Concentration refers to the amount of a substance in a defined space or volume, commonly used in chemistry to denote how much solute is dissolved in a solvent.

Alveoli

Tiny air sacs in the lungs where the exchange of oxygen and carbon dioxide takes place during breathing.

Oxygen

A chemical element vital to most life forms on Earth; it is a key component of the air and is crucial for cellular respiration.

Diffusion

Diffusion is the passive movement of molecules or particles from regions of higher concentration to regions of lower concentration until equilibrium is reached.

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