Journal Entries (Note Received, Renewed, and Collected) Jan. 16 Received a 30-day, 6% note in payment for merchandise sale of $20,000. Feb. 15 Received $100 (interest) on the old (January 16) note; the old note is renewed for 30 days at 7%. Mar. 17 Received principal and interest on the new (February 15) note. 19 Received a 60-day, 6% note in payment for accounts receivable balance of $8,000. May 18 Received $80 (interest) plus $1,000 principal on the old (March 19) note; the old note is renewed for 60 days (from May 18) at 6%. July 17 Received principal and interest on the new (May 18) note. Prepare general journal entries for the transactions. Assume 360 days in a year. Page: 1 DATE ACCOUNT TITLE DEBIT CREDIT 120--Jan. 16 Sales 12 23 34 Feb. 15 45 56 67 78 89 Mar. 17 910 1011 1112 1213 Mar. 19 1314 1415 1516 May 18 1617 1718 1819 1920 2021 July 17 2122 2223 2324 24
Journal Entries (Note Received, Renewed, and Collected) Jan. 16 Received a 30-day, 6% note in payment for merchandise sale of $20,000. Feb. 15 Received $100 (interest) on the old (January 16) note; the old note is renewed for 30 days at 7%. Mar. 17 Received principal and interest on the new (February 15) note. 19 Received a 60-day, 6% note in payment for accounts receivable balance of $8,000. May 18 Received $80 (interest) plus $1,000 principal on the old (March 19) note; the old note is renewed for 60 days (from May 18) at 6%. July 17 Received principal and interest on the new (May 18) note. Prepare general journal entries for the transactions. Assume 360 days in a year. Page: 1 DATE ACCOUNT TITLE DEBIT CREDIT 120--Jan. 16 Sales 12 23 34 Feb. 15 45 56 67 78 89 Mar. 17 910 1011 1112 1213 Mar. 19 1314 1415 1516 May 18 1617 1718 1819 1920 2021 July 17 2122 2223 2324 24
College Accounting, Chapters 1-27
23rd Edition
ISBN:9781337794756
Author:HEINTZ, James A.
Publisher:HEINTZ, James A.
Chapter17: Accounting For Notes And Interest
Section: Chapter Questions
Problem 2CE
Related questions
Question
| Jan. 16 | Received a 30-day, 6% note in payment for merchandise sale of $20,000. |
| Feb. 15 | Received $100 (interest) on the old (January 16) note; the old note is renewed for 30 days at 7%. |
| Mar. 17 | Received principal and interest on the new (February 15) note. |
| 19 | Received a 60-day, 6% note in payment for accounts receivable balance of $8,000. |
| May 18 | Received $80 (interest) plus $1,000 principal on the old (March 19) note; the old note is renewed for 60 days (from May 18) at 6%. |
| July 17 | Received principal and interest on the new (May 18) note. |
Prepare general journal entries for the transactions. Assume 360 days in a year.
Page: 1
DATE ACCOUNT TITLE DEBIT CREDIT
120--
Jan. 16
Sales 12 23 34
Feb. 15 45 56 67 78 89
Mar. 17 910 1011 1112 1213
Mar. 19 1314 1415 1516
May 18 1617 1718 1819 1920 2021
July 17 2122 2223 2324 24
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