7. )River Ridge Music School borrowed $30,000 from the bank signing a 6%, 6-month note on November 1. Principal and interest are payable to the bank on May 1. If the company prepares monthly financial statements, what adjusting entry should the company make at November 30 with regard to the note (round answer to the nearest dollar)?

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A: Interest expense recorded on December 3 = Amount borrowed  x rate of interest x No. of months / 12…

Q: As promise for future payment, Carlock Systems received a six-month, 12% note for $50,000 from a…

A: Interest revenue = Notes receivables x rate of interest x months/12

Q: Coronado Music Store borrowed $33600 from the bank signing a 10%, 3-month note on September 1.…

A: Working notes Monthly principal amount $33600 / 12 = 2800 Monthly interest  2800 * 10% = 280 When an…

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A: Notes payable is a negotiable instrument signed by the promisor who agreed to pay a certain amount…

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A: Long term debt = Total notes payable - current portion = $1000000 - 250000 = $750,000

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A: Note is a financial instrument which is used to make financial transactions. A note receivable is an…

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A: Journal entry shows the recording of transactions during an accounting year and every transaction…

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A: >The adjusting entries are made at the end of period to provide for correct balances for various…

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A: Introduction: Journals: Recording of a business transactions in a chronological order. First step in…

Q: On January 1, 2018, a business borrowed $18,000 on a five-year, 5% note payable. At December 31,…

A: Interest accrued on December 31, 2018 = Amount borrowed x rate of interest x period = $18,000 x 5% x…

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A: Notes are referred to as the promissory notes which are issued by the entity for an amount that is…

Q: On December 1, Milton Company borrowed $390,000, at 7% annual interest, from the Tennessee National…

A: Interest amount from December 1 to December 31 i.e. 1 month = 390,000 x 7% x 1 month/12 months…

Q: On November 25 of the current year, a company borrows $8,000 cash by signing a 90-day, 5% note…

A: The accrued interest payable shall be recorded on December 31 in accordance with the accrual basis…

Q: Hamada Company borrows $20,000 on October 1 from Arab bank by signing a $20,000, 10%, six month note…

A: Given, Amount borrowed = $20,000 Interest Rate = 10%

Q: On December 1, Williams Company borrowed $45,000 cash from Second National Bank by signing a 90-day,…

A: >Notes Payables are the note issued by the borrower, agreeing to pay the amount of note, along…

Q: On January 1, 2018, a business borrowed $15,000 on a five-year, 6% note payable. At December 31,…

A: On December 31, 2018, entry will be passed for booking of interest accrued for the year 2018.…

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A: Given:Principal loaned - $50,000Interest rate – 10%Date of note issued – July 1, Year 1Maturity date…

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A: The detailed assumptions made by accountants while compiling a company's income statement, balance…

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A: Solution: To borrow cash, business issues notes payable that contain principal amount of note,…

Q: her Information The note payable to Southern Bank is due in 60 days. Arrangements have been made to…

A: Answer: Since the note payable to N bank is due in 60 days, it is considered as a current liability.…

Q: On October 1, Eli's Carpet Service borrows $125,000 from First District Bank on a 3-month, $125,000,…

A: The journal entries are prepared to keep the record of day to day transactions of the business.

Q: On December 1, 20x1 a company borrowed P100,000 by signing a six-month note that specifies interest…

A: Borrowing means where company has taken loan from outsider and pay interest and principal amount on…

Q: On February 1, 2021, a company loans one of its employees $28,000 and accepts a eight-month, 7% note…

A: The note receivable is recorded as a current asset in the balance sheet of the company.  Given…

Q: Ventura Company adjusts its accounts monthly and closes its accounts on December 31. OnOctober 31,…

A: “Since you have posted a question with many sub-parts, we will solve three sub-parts for you. To get…

Q: A company isues a note receivable in place of an outstanding accounts receivable balance. The note…

A: Notes Receivables Issued: It is possible to get a note receivable by writing a promise to receive a…

Q: Sherman Charter signed a four-month note payable in the amount of $18,000 on September 1. The note…

A: Note: Adjusting entry on September 30 will be made to record the accrued interest for the period…

Q: On November 1, 2021, Aviation Training Corp. borrows $60,000 cash from Community Savings and Loan.…

A: Journal entry: It is prepared to record the financial and non-financial transaction of the…

Q: May 15, Holt's Clothiers borrowed some money on a 4-month note to provide cash during the slow…

A: Journal entry is the process of documenting commercial transactions for the first time in the books…

Q: On November 1, 20X1, Morant Corp. borrowed $80,000 in cash by signing a nine-month, 12% note from a…

A: Notes payable is a form of debt for the business organisations for which it has to pay periodic…

Q: On April 1, 2021, Baker Construction, Inc. signed a note for a loan from its bank. The following are…

A: Journal entries are made with a view to record the transaction happened during the period.  In this…

Q: Travis County Bank agrees to lend Brickyard Corporation $200,000 on January 1. Brickyard signs a…

A: Supporting calculation:

Q: 37, Best Company uses accrual accounting and closes its books every December 31. On April 1, 2022,…

A: Interest receivable from April 1, 2022 to December's 31, 2022 = issue  price of note × interest rate…

Q: Keesha Co. borrows $200,000 cash on November 1 of the current year by signing a 90-day, 9%, $200,000…

A: Hey, since there are multiple requirements posted, we will answer first three requirements. If you…

Q: LARA Company secured a bank loan of $ 90,000, on 1/4/2020. In return, it signed a 10 month, 6%, note…

A: The adjustment entries are made to adjust the revenues and expenses of the current year.

Q: On November 1, Bahama National Bank lends $3.2 million and accepts a six-month, 6% note receivable.…

A: The journal entries are prepared to keep the record of day to day transactions of the business.

Q: Maxx Company borrowed P10,000 from the bank signing a 9%, 3-month note on September 1. Principal and…

A: Adjusting entries are also known as closing entries because these are prepared at the time of…

Q: On January 1, 2018, a business borrowed $18,000 on a five-year, 5% note payable. At December 31,…

A:

Q: On October 1, Black Company receives a 10% interest-bearing note from Reese Company to settle a…

A: The interest revenue is the interest earned for the period on the note receivable, etc.

Q: On November 1, 2021, a firm issues a $10,000 6% 6-month note payable. Interest is paid with the…

A: Adjusting Entry – Adjusting Entries are the entries that make the accrual principle work for the…

Q: On December 1, a company signed a $6,000, 90-day, 5% note payable, with principal plus interest due…

A: Answer:   Option b.

Q: On October1, 2020 Sue's Carpet Service borrows $ 125.000from the Bank on a 3-month, $ 125.000, 8%…

A: Given: Amount borrowed = $125,000 Period = 3 months Rate = 8%

Q: On June 1, Granulite Inc borrows $150,000 from the bank by signing a 2-month, 2.0% bank loan.…

A: Journal Entries - It refers to the primary books of accounts in which transactions are recorded in…

Q: Muscat Company borrowed OMR100,000 from the bank signing a 12 %, 3-month note on January 1. the…

A: Interest accrued on March 31= Face value of note x rate of interest x no. of months / 12 =…

Q: Honeycomb Company issued a note receivable to a customer on September 1.  The face value of the note…

A: Accrued interest on December 31 = Face Value of note receivable x interest rate x no. of months/12 =…

Q: MFT Company borrowed P10,000 from the bank signing a 9%, 3-month note on September 1. Principal and…

A: Amount borrowed = $10,000 Interest rate = 9%  Interest expense = 10,000 x 9% x 1/12 = 75