Splish Brothers Company had the following select transactions. Apr. 1, 2022   Accepted Goodwin Company’s 12-month, 6% note in settlement of a $41,000 account receivable. July 1, 2022   Loaned $22,000 cash to Thomas Slocombe on a 9-month, 11% note. Dec. 31, 2022   Accrued interest on all notes receivable. Apr. 1, 2023   Received principal plus interest on the Goodwin note. Apr. 1, 2023   Thomas Slocombe dishonored its note; Splish Brothers expects it will eventually collect. Prepare journal entries to record the transactions. Splish Brothers prepares adjusting entries once a year on December 31. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. Record journal entries in the order presented in the problem.)

Q: The following note transactions occurred during the year for Towell Company: On Nov. 25, Towell…

A: Interest is an expense which is to be paid to the lender or creditor for making late payment for the…

Q: On January 1, MM Co. borrows $340,000 cash from a bank and in return signs an 8% installment note…

A: Interest expense for first installment = Notes payable x rate of interest x no. of months in…

Q: Jamaica Corporation carried out the following transactions involving note payable. During the fiscal…

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

Q: Martinez Co. borrowed $71,059 on March 1 of the current year by signing a 60-day, 5%, interest-…

A: Interest = $71,059 x 5% x 60/360 = $592

Q: On March 1, 2018, Bodie Co. accepted a $7,900 face value note as evidence of a loan it made to T…

A: Solution: Time period in 2018 = March 1 to Dec 31 = 10 months Face value of note = $7,900 Interest…

Q: Martinez Co. borrowed $56,952 on March 1 of the current year by signing a 60-day, 8%,…

A: Interest expense for 60 days  = Amount borrowed×interest rate × 60 days/360 days

Q: On January 1, Gemstone Company obtained a $165,000, 7%, 10-year installment note from Guarantee…

A: Journal Entry: Journal entry is the act of keeping records of transactions in an accounting journal.…

Q: Starr Corporation loaned P90,000 to another corporation on December 1, 2021 and received a 3-month,…

A: Calculation of accrued interest till December 31, 2021: Interest Receivable/Interest Revenue = Face…

Q: At December 31 year-end, Crain Corporation has an $8,400 note receivable from a customer. Interest…

A: A note receivable is a document which is written promise made which indicates an amount to be…

Q: On December 31, 2021, the bookkeeper of BLACK Corporation provided the following information:…

A: Current liabilities: Liabilities that have to be paid within one year or one operating cycle,…

Q: The trial balance for BLUE Corporation prepared at December 31, 2020 showed a balance of P4,000,000…

A: Notes receivable refers to the promissory note issued by the debtor for the credit purchase made by…

Q: Sheffield Company had the following select transactions. Apr. 1, 2020   Accepted Goodwin Company’s…

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

Q: On August 1, Kim Company accepted a 90-day note receivable as payment for services provided to Hsu…

A: Lets understand the basics. When transaction happen between parties and in consideration of that…

Q: On December 31, 2021, Yohan Company provided the following information: Accounts Payable, Including…

A: Computation of Current liabilities - Yohan Company Particulars Amount Accounts payable,…

Q: On October 1, 2020, Chung, Inc. assigns $1,000,000 of its accounts receivable to Seneca National…

A: Date Account Titles and Explanation Debit Credit October 1, 2020 Cash $730,000     Interest…

Q: On March 1, 2021, X Co. assigns $60,000 of its accounts receivable as a collateral for a loan from…

A: Interest = 47000* 1% = 470 Principal repayment = 10,000

Q: Morton Company had the following select transactions. 1, 2021 Accepted Remington Company's 1-year,…

A: Journal entries by far are one of the most crucial skills to develop in an accounting profession.…

Q: During the year ended December 31, SC engaged in the following transactions involving notes payable.…

A: Journal entries is recording the of the transaction in the accounting journal in a chronological…

Q: On the first day of the fiscal year, a company issues $32,000, 11%, five-year installment notes that…

A: The journal is the book in which the company will record the transactions in chronological manner.…

Q: Samson Corporation issued a 4-year, $75,000, zero-interest-bearing note to Brown Company on January…

A: Zero-interest bearing note is an obligation of an organization to pay its creditors in near future…

Q: On December 31, 2021, Doctor Jones Inc.'s "Accounts Receivable" balance per ledger of P1,250,000…

A: Trade liabilities are obligations to obtain merchandise or services that are no heritable from…

Q: On January 1, Year 1, Luzak Company issued a $47,000, 4-year, 9% installment note to McGee Bank. The…

A: Journal Entry: It is the first and foremost procedure in an accounting cycle. The transactions are…

Q: Sheffield Corp. had the following transactions involving notes payable. July 1, 2020   Borrows…

A: Note payable is a written promissory note, under which the borrower promises to pay the lender a sum…

Q: On August 31, 2021, XYZ Company received a 9%, nine-month note receivable from Hugo Company, one of…

A: Given information; Outstanding accounts receivable = $360,000 Note receivable for 9 months issued…

Q: Kingbird, Inc. had the following transactions involving notes payable. July 1, 2022 Nov 1, 2022 Dec.…

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

Q: The trial balance for BLUE Corporation prepared at December 31, 2020 showed a balance of P4,000,000…

A: Interest income on the non-interest-bearing note is calculated by applying the market interest rate…

Q: Swifty Company had the following select transactions. Apr. 1. 2020 Accepted Goodwin Company's…

A: Accrued interest on Dec 31, 2020 = Face value of notes x rate of interest x no. of months/12 =…

Q: oremost Company received from a customer a one-year, P500,000 note bearing annual interest of 8%.…

A: Step 1 The bank discount rate is based on the instrument's par value and the amount of the notes…

Q: On December 31, 2019, the bookkeeper of Glare Company provided the following information. Accounts…

A: Current liabilities: Liabilities that have to be paid within one year or one operating cycle,…

Q: Pepper, Inc. had the following receivable financing transactions in 2021: a) At the beginning of…

A: SOLUTION A JOURNAL IS AN OFFICIAL ACCOUNTING BOOK IN WHICH ALL BUSINESS TRANSACTIONS ARE RECORDED IN…

Q: Samson Corporation issued a 4-year, $75,000, zero-interest-bearing note to Brown Company on January…

A:

Q: HELLO reported the following items on its December 31, 2020 trial balance: Accounts Payable,…

A: Current liabilities: Liabilities that have to be paid within one year or one operating cycle,…

Q: Shown below are selected transactions of Hugo company during the month of December 2021. Dec. 1…

A: Allowance of Doubtful Account The treatment of Allowance of Doubtful Account first to determine the…

Q: On December 1, 2021, abc  Ltd. borrowed $180,000 from a local bank by signing a four-month, 5%…

A: Since amount was borrowed on December 1 , interest will be accrued for 1 month from December 1 to…

Q: On August 1, Kim Company accepted a 90-day note receivable as payment for services provided to Hsu…

A: Working Note: Interest on the Note = Face value of the note x rate of interest x no. of days / 360…

Q: On January 1, 2021, CPS Co. borrowed $340,000 cash from iLend and issued a five-year $340,000, 4%…

A: Interest Expense: The cost of debt which is incurred during a particular accounting period is called…

Q: The trial balance for BLUE Corporation prepared at December 31, 2020 showed a balance of P4,000,000…

A: Carrying value of the non-interest bearing promissory note is calculated by discounting the face…

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

A:

Q: On January 26, Vibrant Co. borrowed cash from Conrad Bank by issuing a 90-day note with a face…

A: We know that if a note is an interest-bearing note the borrower is obligated to pay the whole…

Q: On December 31, 2021, the bookkeeper of BLACK Corporation provided the following information:…

A: Current liabilities: Liabilities that have to be paid within one year or one operating cycle,…

Q: The trial balance for BLUE Corporation prepared at December 31, 2020 showed a balance of P4,000,000…

A: The carrying value of the notes receivable is the sum of the notes receivable initially recognized…

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

A:

Q: Swifty Company had the following select transactions. Apr. 1, 2020   Accepted Goodwin Company’s…

A: Journal entries refers to the systematic documentation of the financial transactions of a company in…

Q: Morton Company had the following select transactions. Apr. 1, 2020 Accepted Remington Company's…

A: Answer -  Ineterest Receivables - 1. (25000*12%*9/12) = 2250 2. (15000*10%*6/12) = 750

Q: On June 1, Phillips Corporation sold, with recourse, a note receivable from a customer to a bank.…

A: Formula: Cash received = Maturity value - Discount

Q: On October 1, 2017, Chung, Inc. assigns $1,000,000 of its accounts receivable to Seneca National…

A: In the books of Chung, Inc.: Date Account Titles and Explanation Debit Credit October 1, 2017…