On May 1, 2022, Barber Company purchased inventory costing $87,000 by signing an 8%, nine-month, short-term note payable. Barber will pay the entire note (principal and interest) on the note's maturity date. Journalize the company's (a) purchase of inventory and (b) accrual of interest on the note payable on November 31, 2022. (Record debits first, then credits. Exclude explanations from any journal entries.) (a) Journalize the company's purchase of inventory. May Date 2022 1 C Journal Entry Accounts Debit Credit (b) Journalize the company's accrual of interest on the note payable on November 31, 2022. Journal Entry Nov Date 2022 31 Accounts Debit Credit

Intermediate Accounting: Reporting And Analysis
3rd Edition
ISBN:9781337788281
Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Chapter13: Investments And Long-term Receivables
Section: Chapter Questions
Problem 3MC: On July 1, 2019, Aldrich Company purchased as an available-for-sale security 200,000 face value, 9%...
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On May 1, 2022, Barber Company purchased inventory costing $87,000 by signing an 8%, nine-month, short-term
note payable. Barber will pay the entire note (principal and interest) on the note's maturity date. Journalize
the company's (a) purchase of inventory and (b) accrual of interest on the note payable on November 31, 2022.
(Record debits first, then credits. Exclude explanations from any journal entries.)
(a) Journalize the company's purchase of inventory.
May
Date
2022
1
C
Journal Entry
Accounts
Debit
Credit
(b) Journalize the company's accrual of interest on the note payable on November 31, 2022.
Journal Entry
Nov
Date
2022
31
Accounts
Debit
Credit
Transcribed Image Text:On May 1, 2022, Barber Company purchased inventory costing $87,000 by signing an 8%, nine-month, short-term note payable. Barber will pay the entire note (principal and interest) on the note's maturity date. Journalize the company's (a) purchase of inventory and (b) accrual of interest on the note payable on November 31, 2022. (Record debits first, then credits. Exclude explanations from any journal entries.) (a) Journalize the company's purchase of inventory. May Date 2022 1 C Journal Entry Accounts Debit Credit (b) Journalize the company's accrual of interest on the note payable on November 31, 2022. Journal Entry Nov Date 2022 31 Accounts Debit Credit
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