FUND.OF FIN.ACCT.-ACCESS >CUSTOM<
5th Edition
ISBN: 9781259685477
Author: PHILLIPS
Publisher: MCG CUSTOM
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Chapter 8, Problem 8.3PA
1.
To determine
To prepare: The
2.
To determine
To prepare: The journal entry in the books of CS Marketing to record the interest accruals at accrued interest on June30 and December 31.
3.
To determine
To prepare: The journal entry in the books of CS Marketing to record the interest and principal payments on February 28, 2016
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Exercise 10-04
C.S. Cullumber Company had the following transactions involving notes payable.
July 1, 2022
Borrows $38,000 from First National Bank by signing a 9-month, 8% note.
Nov. 1, 2022
Borrows $41,000 from Lyon County State Bank by signing a 3-month, 6% note.
Dec. 31, 2022
Prepares adjusting entries.
Feb. 1, 2023
Pays principal and interest to Lyon County State Bank.
Apr. 1, 2023
Pays principal and interest to First National Bank.
Prepare journal entries for each of the transactions. (Credit account titles are automatically indented when amount is entered. Do not indent manually. Record journal entries in the order presented in the problem.)
Date
Account Titles and Explanation
Debit
Credit
July 1, 2022November 1, 2022December 31, 2022February 1, 2023April 1, 2023
July 1, 2022November 1, 2022December 31, 2022February 1, 2023April 1, 2023…
C&S Marketing (CSM) recently hired a new marketing director, Jeff Otos, for its downtown Minneapolis office. As part of the arrangement, CSM agreed on February 28, 2015, to advance Jeff$50,000 on a one-year, 8 percent note, with interest to be paid at maturity on February 28, 2016.CSM prepares financial statements on June 30 and December 31.Required:1. Prepare the journal entry that CSM will make when the note is established.2. Prepare the journal entries that CSM will make to accrue interest on June 30 and December 31.3. Prepare the journal entry that CSM will make to record the interest and principal payments onFebruary 28, 2016.
Hide or show questions Progress:11/32 items On May 18, Rodriguez Co. issued an $84,000, 6%, 120-day note payable on an overdue account payable to Wilson Company. Assume that the fiscal year of Rodriguez ends on June 30. Which of the following relationships is true?
a.Wilson is the creditor and debits Accounts Receivable
b.Rodriguez is the borrower and debits Accounts Payable
c.Rodriguez is the creditor and credits Accounts Receivable
d.Wilson is the borrower and credits Accounts Payable
Chapter 8 Solutions
FUND.OF FIN.ACCT.-ACCESS >CUSTOM<
Ch. 8 - What are the advantages and disadvantages of...Ch. 8 - Prob. 2QCh. 8 - Which basic accounting principles does the...Ch. 8 - Using the allowance method, is Bad Debt Expense...Ch. 8 - What is the effect of the write-off of...Ch. 8 - How does the use of calculated estimates differ...Ch. 8 - Prob. 7QCh. 8 - What is the primary difference between accounts...Ch. 8 - What are the three components of the interest...Ch. 8 - Prob. 10Q
Ch. 8 - Does an increase in the receivables turnover ratio...Ch. 8 - What two approaches can managers take to speed up...Ch. 8 - When customers experience economic difficulties,...Ch. 8 - (Supplement 8A) Describe how (and when) the direct...Ch. 8 - (Supplement 8A) Refer to question 7. What amounts...Ch. 8 - 1. When a company using the allowance method...Ch. 8 - 2. When using the allowance method, as Bad Debt...Ch. 8 - 3. For many years, Carefree Company has estimated...Ch. 8 - 4. Which of the following best describes the...Ch. 8 - 5. If the Allowance for Doubtful Accounts opened...Ch. 8 - 6. When an account receivable is recovered a....Ch. 8 - Prob. 7MCCh. 8 - 8. If the receivables turnover ratio decreased...Ch. 8 - Prob. 9MCCh. 8 - Prob. 10MCCh. 8 - Prob. 8.1MECh. 8 - Evaluating the Decision to Extend Credit Last...Ch. 8 - Prob. 8.3MECh. 8 - Prob. 8.4MECh. 8 - Recording Write-Offs and Bad Debt Expense Using...Ch. 8 - Determining Financial Statement Effects of...Ch. 8 - Estimating Bad Debts Using the Percentage of...Ch. 8 - Estimating Bad Debts Using the Aging Method Assume...Ch. 8 - Recording Bad Debt Estimates Using the Two...Ch. 8 - Prob. 8.10MECh. 8 - Prob. 8.11MECh. 8 - Recording Note Receivable Transactions RecRoom...Ch. 8 - Prob. 8.13MECh. 8 - Determining the Effects of Credit Policy Changes...Ch. 8 - Prob. 8.15MECh. 8 - (Supplement 8A) Recording Write-Offs and Reporting...Ch. 8 - Recording Bad Debt Expense Estimates and...Ch. 8 - Determining Financial Statement Effects of Bad...Ch. 8 - Recording, Reporting, and Evaluating a Bad Debt...Ch. 8 - Recording Write-Offs and Recoveries Prior to...Ch. 8 - Prob. 8.5ECh. 8 - Computing Bad Debt Expense Using Aging of Accounts...Ch. 8 - Computing Bad Debt Expense Using Aging of Accounts...Ch. 8 - Recording and Reporting Allowance for Doubtful...Ch. 8 - Recording and Determining the Effects of Write-Off...Ch. 8 - Prob. 8.10ECh. 8 - Recording Note Receivable Transactions, Including...Ch. 8 - Recording Note Receivable Transactions, Including...Ch. 8 - Prob. 8.13ECh. 8 - Prob. 8.14ECh. 8 - Prob. 8.15ECh. 8 - Prob. 8.16ECh. 8 - (Supplement 8A) Recording Write-Offs and Reporting...Ch. 8 - Recording Accounts Receivable Transactions Using...Ch. 8 - Prob. 8.2CPCh. 8 - Recording Notes Receivable Transactions Jung ...Ch. 8 - Accounting for Accounts and Notes Receivable...Ch. 8 - Prob. 8.5CPCh. 8 - Recording Accounts Receivable Transactions Using...Ch. 8 - Prob. 8.2PACh. 8 - Prob. 8.3PACh. 8 - Accounting for Accounts and Notes Receivable...Ch. 8 - Analyzing Allowance for Doubtful Accounts,...Ch. 8 - Recording Accounts Receivable Transactions Using...Ch. 8 - Interpreting Disclosure of Allowance for Doubtful...Ch. 8 - Recording Notes Receivable Transactions Stinson...Ch. 8 - Accounting for Accounts and Notes Receivable...Ch. 8 - Prob. 8.5PBCh. 8 - Recording and Reporting Credit Sales and Bad Debts...Ch. 8 - Prob. 8.2COPCh. 8 - Recording Daily and Adjusting Entries Using FIFO...Ch. 8 - Prob. 8.1SDCCh. 8 - Comparing Financial Information Refer to the...Ch. 8 - Ethical Decision Making: A Real-Life Example You...Ch. 8 - Critical Thinking: Analyzing the Impact of Credit...Ch. 8 - Using an Aging Schedule to Estimate Bad Debts and...Ch. 8 - Accounting for Receivables and Uncollectible...
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