FUND.OF FIN.ACCOUNTING W/CONNECT+ >IC<
15th Edition
ISBN: 9781308537849
Author: PHILLIPS
Publisher: MCG/CREATE
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Textbook Question
Chapter 10, Problem 10.2E
Recording a Note Payable through Its Time to Maturity
Use the information in E10-1 to complete the following requirements.
Required:
- 1. Give the
journal entry to record the note on November 1, 2015. - 2. Give any
adjusting entry required on December 31, 2015. - 3. Give the journal entry to record payment of the note and interest on the maturity date, April 30, 2016, assuming that interest has not been recorded since December 31, 2015.
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Give typing answer with explanation and conclusion
A promissory note for $7200.00 dated May 15, 2016, requires an interest payment of $740.00 at maturity. If interest is at 9.6% compounded monthly, determine the due date of the note.
Group of answer choices
11 Oct 2018
24 Aug 2017
23 May 2017
21 Sep 2016
23 July 2016
Accounting for notes receivable and accruing interest
Carley Realty loaned money and received the following notes during 2018.
Note Date Principal Amount Interest rate term
April 1 $6000 7% 1 year
Sept 30 $12000 6% 6 month
Sept 19 $18000 8% 90 days
Requirements
Determine the maturity date and maturity value of each note.
Journalize the entries to establish each Note Receivable and to record collection of principal and interest at maturity. Include a single adjusting entry on December 31, 2018, the fiscal year-end, to record accrued interest revenue on any applicable note. Explanations are not required. Round to the nearest dollar.
Determine the maturity date and maturity value of each note.
Date Principle Amount Interest Rate Term
(Note 1) Oct. 1 $18,000 14% 1 year
(Note 2) Jun. 30 $14,000 10% 9 months
(Note 3) Sept. 19 $26,000 12% 90 days
Begin with the journal entry to establish note 1.
Journalize the entry to establish note 2.
Journalize the entry to establish note 3.
Journalize the single adjusting entry to record accrued interest revenue on any applicable note(s) on December 31, 2024, the fiscal year-end.
Now journalize the collection of principal and interest at maturity on the three notes. Explanations are not required. (Record debits first, then credits. Exclude explanations from journal entries.)
Journalize the collection of principal and interest at maturity for note (1).
Journalize the collection of principal and interest at…
Chapter 10 Solutions
FUND.OF FIN.ACCOUNTING W/CONNECT+ >IC<
Ch. 10 - Prob. 1QCh. 10 - Prob. 2QCh. 10 - What three factors influence the dollar amount...Ch. 10 - Prob. 4QCh. 10 - Prob. 5QCh. 10 - Prob. 6QCh. 10 - Prob. 7QCh. 10 - If a company has a long-term loan that has only...Ch. 10 - What are the reasons that some bonds are issued at...Ch. 10 - Prob. 10Q
Ch. 10 - Will the stated interest rate be higher than the...Ch. 10 - What is the carrying value of a bond payable?Ch. 10 - What is the difference between a secured bond and...Ch. 10 - Prob. 14QCh. 10 - Prob. 15QCh. 10 - Prob. 16QCh. 10 - Prob. 17QCh. 10 - Which of the following best describes Accrued...Ch. 10 - Prob. 2MCCh. 10 - Prob. 3MCCh. 10 - Prob. 4MCCh. 10 - Which of the following does not impact the...Ch. 10 - Which of the following is false when a bond is...Ch. 10 - To determine if a bond will be issued at a...Ch. 10 - A bond is issued at a price of 103 and retired...Ch. 10 - In a recent year. Land O Lakes, Inc., reported (in...Ch. 10 - Prob. 10MCCh. 10 - Recording Unearned Revenues A local theater...Ch. 10 - Prob. 10.2MECh. 10 - Prob. 10.3MECh. 10 - Reporting Payroll Tax Liabilities Refer to M10-3....Ch. 10 - Prob. 10.5MECh. 10 - Prob. 10.6MECh. 10 - Prob. 10.7MECh. 10 - Prob. 10.8MECh. 10 - Prob. 10.9MECh. 10 - Prob. 10.10MECh. 10 - Recording Bonds Issued at Face Value Schlitterbahn...Ch. 10 - Prob. 10.12MECh. 10 - Computing the Debt-to-Assets Ratio and the Times...Ch. 10 - Analyzing the Impact of Transactions on the...Ch. 10 - Prob. 10.15MECh. 10 - Prob. 10.16MECh. 10 - Prob. 10.17MECh. 10 - Prob. 10.1ECh. 10 - Recording a Note Payable through Its Time to...Ch. 10 - Recording Payroll Costs McLoyd Company completed...Ch. 10 - Recording Payroll Costs with and without...Ch. 10 - Prob. 10.5ECh. 10 - Determining and Recording the Financial Statement...Ch. 10 - Preparing Journal Entries to Record Issuance of...Ch. 10 - Preparing Journal Entries to Record Issuance of...Ch. 10 - Prob. 10.9ECh. 10 - Prob. 10.10ECh. 10 - (Supplement 10A) Recording the Effects of a...Ch. 10 - Prob. 10.12ECh. 10 - Prob. 10.13ECh. 10 - Prob. 10.14ECh. 10 - (Supplement 10B) Recording the Effects of a...Ch. 10 - Prob. 10.16ECh. 10 - Determining Financial Effects of Transactions...Ch. 10 - Recording and Reporting Current Liabilities with...Ch. 10 - Recording and Reporting Current Liabilities...Ch. 10 - Prob. 10.4CPCh. 10 - Determining Financial Statement Reporting of...Ch. 10 - Prob. 10.6CPCh. 10 - (Supplement 10B) Recording Bond Issuance and...Ch. 10 - Prob. 10.8CPCh. 10 - (Supplement 10A) Completing an Amortization...Ch. 10 - (Supplements 10B or 10C) Completing an...Ch. 10 - Prob. 10.1PACh. 10 - Prob. 10.2PACh. 10 - Recording and Reporting Current Liabilities...Ch. 10 - Prob. 10.4PACh. 10 - Prob. 10.5PACh. 10 - Prob. 10.6PACh. 10 - Prob. 10.7PACh. 10 - Prob. 10.8PACh. 10 - Prob. 10.1PBCh. 10 - Recording and Reporting Current Liabilities with...Ch. 10 - Prob. 10.3PBCh. 10 - Prob. 10.4PBCh. 10 - Recording and Explaining the Early Retirement of...Ch. 10 - Prob. 10.6PBCh. 10 - (Supplement 10B) Recording Bond Issue, Interest...Ch. 10 - (Supplement 10C) Recording Bond Issue, Interest...Ch. 10 - Prob. 10.1COPCh. 10 - Prob. 10.1SDCCh. 10 - Prob. 10.2SDCCh. 10 - Prob. 10.4SDCCh. 10 - Prob. 10.5SDCCh. 10 - Prob. 10.6SDCCh. 10 - Prob. 10.7SDCCh. 10 - Prob. 10.8SDCCh. 10 - (Supplement 10C) Preparing a Bond Amortization...Ch. 10 - Prob. 10.1CC
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