Sunland Inc. issues an $850,000, 10%, 10-year mortgage note on December 31, 2022, to obtain financing for a new building. The terms provide for annual installment payments of $120,000. Prepare the entry to record the mortgage loan on December 31, 2022, and the first installment payment on December 31, 2023.
Sunland Inc. issues an $850,000, 10%, 10-year mortgage note on December 31, 2022, to obtain financing for a new building. The terms provide for annual installment payments of $120,000. Prepare the entry to record the mortgage loan on December 31, 2022, and the first installment payment on December 31, 2023.
Intermediate Accounting: Reporting And Analysis
3rd Edition
ISBN:9781337788281
Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Chapter9: Current Liabilities And Contingent Obligations
Section: Chapter Questions
Problem 5E: Disclosure of Debt On May 1, 2019, Ramden Company issues 13% bonds with a face value of 2 million....
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Sunland Inc. issues an $850,000, 10%, 10-year mortgage note on December 31, 2022, to obtain financing for a new building. The terms provide for annual installment payments of $120,000.
Prepare the entry to record the mortgage loan on December 31, 2022, and the first installment payment on December 31, 2023.
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