Norbert Corporation borrowed $24,000 on December 1, 2011, by issuing a two-month, 8 percentnote payable to Service One Credit Union. The entire amount of the loan, plus interest, is dueFebruary 1, 2012.a. Prepare the necessary adjusting entry for interest expense on December 31, 2011.b. Record the repayment of the loan plus interest on February 1, 2012.
Norbert Corporation borrowed $24,000 on December 1, 2011, by issuing a two-month, 8 percentnote payable to Service One Credit Union. The entire amount of the loan, plus interest, is dueFebruary 1, 2012.a. Prepare the necessary adjusting entry for interest expense on December 31, 2011.b. Record the repayment of the loan plus interest on February 1, 2012.
Chapter12: Current Liabilities
Section: Chapter Questions
Problem 16Q: Jain Enterprises honors a short-term note payable. Principal on the note is $425,000, with an annual...
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Norbert Corporation borrowed $24,000 on December 1, 2011, by issuing a two-month, 8 percent
note payable to Service One Credit Union. The entire amount of the loan, plus interest, is due
February 1, 2012.
a. Prepare the necessary
b. Record the repayment of the loan plus interest on February 1, 2012.
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