Note Payable problem: On October 1, 2021, Good Luck Inc. received Equipment valued at $900,000 in exchange for a 10% long-term note payable. The note is payable over a 20-year term in $45,000 principal installments due on October 1 of each year, beginning October 1, 2022. At the time of each installment the interest due at that time is paid also.  provide the following 3 journal entries: * The October 1, 2021 entry to receive the Equipment and put the note on the books. * the Dec 31, 2021 adjusting entry for 3 months of interest. * and the October 1, 2022 payment of the installment and interest. (with proper format )

Q: On May 1, 2020, POPS Corporation issued a 5-year, 10%, P 1,000,000 note in exchange of a land with…

A: 1. Annual installment which is payable in the next 12 months from December 31, 2021, and interest…

Q: On July 1, 2019, Lp Manufacturing Co. issued a five-year note payable with a face amount of P250,000…

A: The current liabilities section would include the maturity payment of $50000 and the interest…

Q: PDR Bank granted a loan to a borrower on January 1, 2020. The interest on the loan is 10% payable…

A:

Q: MNO Bank granted a loan to a borrower on January 1, 2020. The interest on the loan is 10% payable…

A: Loan receivables refer to the net balance that is being held in the borrower's account in the books…

Q: Alaska Inc. borrowed $16,000 by signing a one-year note payable on November 1, 2020. The note bears…

A: Formula: Interest expense = Notes amount x Interest rate x Time period

Q: On Jan. 1, 2021, Muta Co. received a P1,200,000, noninterest bearing note in exchange for land with…

A: On 01.01.2021, Muta company received non interest bearing note in exchange of land = P1200000…

Q: On december 31, 2020, Precious Company sold an equipment with carrying amount of 2,000,000 and…

A: The present value of the annuity factor is used when there is an equal series of cash flows and the…

Q: Wildhorse Co. issued a five-year interest-bearing note payable for $324000 on January 1, 2019. Each…

A: Balance sheet is the financial statement which involves the total debt, liabilities, assets and…

Q: On December 31, 2020, Precious Company sold an equipment with carrying amount of P2,000,000 and…

A: Present value: It is the value of investment that will be worth more than in future.

Q: April 1, 2021, ABC CO. issued a 9% interest bearing note with a face amount of P 30,000,000 for the…

A: Equated principal payments over 5 year period = P30, 000,000/5 =P6000, 000

Q: On January 2, 2020, Brook Company acquired machinery by Issuing a 5%, $350,000 note due in 5 years…

A: Current portion of liability means the obligation that an entity would settle within a year and…

Q: On April 1, 2021, ABC CO. issued a 9% interest bearing note with a face amount of P 30,000,000 for…

A: Notes Payable: In the financial world, notes payable are short-term obligations that represent the…

Q: On January 1, 2021, Pindang Co. received a P1,000,000, noninterest bearing note in exchange land…

A: The note receivable can be referred to as a contractual note which specifies an amount to be…

Q: Note Payable problem. On November 1, 2021, Good Luck Inc. received Equipment valued at $600,000 in…

A: ANSWER     The journal entries are prepared to keep the record of day to day transactions of the…

Q: ce value of P1,500,000.  The note is payable in four equal annual installments of P375,000 plus…

A: Notes Payable are the debt instrument which has been used by the organization to arrange a short…

Q: Required information [The following information applies to the questions displayed below.] On…

A: Amortization schedule: It implies to a table that shows or presents the periodic payments related to…

Q: On June 30, 2019, BM Corporation issued a five-year note payable with a face amount of P1,000,000…

A: Accrued interest on December 31,2020 = (face value of note -  annual payment made on June 30, 2020)…

Q: On July 1, 2020, KOLA Corporation issued a five-year note payable with a face value of ₱250,000 and…

A: Accrued Interest ( From July 1 to December 31 ) = ₱250,000 x 10% x 612 = ₱12,500

Q: On April 1, 2021, ABC CO. issued a 9% interest bearing note with a face amount of P 30,000,000 for…

A: A note payable is indeed a promissory note that has been drafted. A borrower borrows a particular…

Q: On Jan. 1, 2020, EC Company reported a note payable of P 1,200,000. The note is dated Oct. 1, 2019,…

A: Given that,  Notes payable as on Jan 1 2020 = P1200000  Rate of interest = 12%

Q: Flipco signed a 10-year note payable on January 1, 2018, of $800,000. The note requires annual…

A: Calculate the interest expense:

Q: On April 1, 2021, ABC CO. issued a 9% interest bearing note with a face amount of P 30,000,000 for…

A:

Q: RED Corporation

A: Current liabilities square measure a company's short-run money obligations that square measure due…

Q: . On July 1, 2020, KOLA Corporation issued a five-year note payable with a face value of ₱250,000…

A: Current liabilities are those liabilities which are to be paid in short period of time say one year.…

Q: On July 1, 2021, ABC Co. issued a 9% interest bearing note with a face amount of P 10,000,000 for…

A: carrying value of the notes as of December 31,2022  is P 8,227,384.90  accrued interest P 354,289.30…

Q: On January 1, 2020, Aggie Company purchased a building for $65,000, making a cash down payment of…

A: Given, Cost of building = $65000 Cash down payment = $5000 Notes Payable = $65000-$5000=$60000…

Q: Sammy Company, a calendar-year company, has a 6% note receivable dated November 1, 2020 in the…

A: Answer) In the given question, the company had note receivable of P 3,000,000 on November 1, 2020…

Q: On January 1, 2019 Leroy Inc. signed a 3 year loan for $80,000 with interest rate of 10%.  The loan…

A: Annual instalment = Amount borrowed / Present value annuity factor (10%, 3 years) = $80,000 /…

Q: Suga Bank granted a loan to a borrower on January 1, 2020. The interest rate on the loan is 10%…

A: Carrying value=Principal amount+Direct origination cost-Origination fee received from borrower=P…

Q: On April 1, 2021, ABC CO. issued a 9% interest bearing note with a face amount of P 30,000,000 for…

A: Total Amount of Notes Payable, including Accrued Interest - P7,253,656

Q: On January 1, 2020, a company issued a $30,000 three-year, 4% note payable, repayable in 12…

A: Notes Payable The purpose of taking the Notes payable to the firm to generate adequate liquidity in…

Q: PINK Company reported a 10% note payable of ₱3,600,000 on June 30, 2021. The note is dated October…

A: Given that, Notes payable = ₱3600000 Rate of interest = 10% it is said that the Principle is repaid…

Q: On January 1, 2020, Jackie Company issued a note with a face amount of P5,000,000. The note carried…

A: Working note: Computation of carrying amount of note payable on June 30, 2022:

Q: On April 1, 2021, ABC CO. issued a 9% interest bearing note with a face amount of P 30,000,000 for…

A: Present Value Factor = 1(1+i)n where, i= market rate n= period

Q: On January 1, 2021, Biliran Company received a 5%, P10,000,000, note collectible in installment plus…

A: On January 1, 2021, Biliran Company received a 5%, P10,000,000 note collectible in instalment plus…

Q: A 5-year promissory note for $B200 issued on September 15, 2018, with interest at 6.5% compounded…

A: FORMULA FOR PROMISSORY NOTE: P=M1+RT M=MATURITY VALUE RRATE T=TIME

Q: PINK Company reported a 10% note payable of ₱3,600,000 on June 30, 2021. The note is dated October…

A: Accrued interest is the amount of bond interest that has accumulated since the last time a bond…

Q: current liabilities section

A: The first annual payment of P200,000 is made on June 30, 2020. The balance of note payable will be…

Q: Flipco signed a 10-year note payable on January 1, 2018, of $800,000. The note requires annual…

A:

Q: On May 1, 2018, the DCM issued a 9% promissory note with a face value of ₱8,339,760 for a piece of…

A: Formula: Maturity value of note = Principal amount + Interest amount.

Q: On April 1, 2021, ABC CO. issued a 9% interest bearing note with a face amount of P 30,000,000 for…

A: Notes Parables: Notice the image for Notes Payable: Notes payable are long-term obligations that…

Q: Note Payable problem. On November 1, 2021, Good Luck Inc. received Equipment valued at $600,000 in…

A: Note payable is one of the liability of the business, on which regular interest payments needs to be…

Q: How much interest expense should be accrued

A: Interest charged on the principal amount at a fixed rate for a fixed period of time is known as…

Q: On January 1, 2019, Eagle Company borrows $21,000 cash by signing a four-year, 5% installment note.…

A: Loan means the amount taken from another person to be repaid back with interest. When a fixed…

Q: 2024. Scenario B: The terms of the note were modified on June 30, 2022. The principal is reduced by…

A: Computation of amount of liability after modification of terms:

Q: On January 1, 2019, a company borrows $1,000 cash by signing a four-year, 5% installment note. The…

A: Given: Borrowed amount = $ 1,000 Rate of note = 5 % Amount for equal payment = $ 282

Q: On July 1, 2021, ABC Co. borrowed P1,000,000 and issued a one-year note payable. The lender…

A: According to this question, we prepare the journal entries with reference to the given scenarios.…

Q: MNO Bank granted a loan to a borrower on January 1, 2020. The interest on the loan is 10% payable…

A: Carrying value of loan on January 1, 2020 =Principal value of loan +Direct orgination cost…