Assume that on Sept 1, 2021, General Mills bonowed $200,000 cash on a one-year note that required General Mills to pay 3 percent interest and $200,000 principal, both on August 31, 2022. 1. Prepare the journal entry to establish the note payable on September 1, 2021 2. Prepare the journal enty to record accmal of interest on December 31, 2021. 2. Prepare the journal entry to record acomal of interest on August 31, 2022. "1. Prepare the journal entry to record payment of the note plus payment of interest on August 31, 2022.

Assume that on Sept 1, 2021, General Mills bonowed $200,000 cash on a one-year note that required General Mills to pay 3 percent interest and $200,000 principal, both on August 31, 2022. 1. Prepare the journal entry to establish the note payable on September 1, 2021 2. Prepare the journal enty to record accmal of interest on December 31, 2021. 2. Prepare the journal entry to record acomal of interest on August 31, 2022. "1. Prepare the journal entry to record payment of the note plus payment of interest on August 31, 2022.

Cornerstones of Financial Accounting

4th Edition

ISBN:9781337690881

Author:Jay Rich, Jeff Jones

Publisher:Jay Rich, Jeff Jones

Chapter9: Long-term Liabilities

Section: Chapter Questions

Problem 92PSA

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