Docker Corporation began 20X9 owing notes payable of $4.0 million. During 20X9 Docker borrowed $2.6 million on

Question:

Docker Corporation began 20X9 owing notes payable of $4.0 million. During 20X9 Docker borrowed $2.6 million on notes payable and paid off $2.5 million of notes payable from prior years. Interest expense for the year was $1.0 million, including $0.2 million of interest payable accrued at December 31, 20X9.

Show what Docker should report for these facts on the following financial statements:

• Income statement Interest expence

• Balance sheet Notes payable Interest payable

Balance Sheet
Balance sheet is a statement of the financial position of a business that list all the assets, liabilities, and owner’s equity and shareholder’s equity at a particular point of time. A balance sheet is also called as a “statement of financial... Corporation
A Corporation is a legal form of business that is separate from its owner. In other words, a corporation is a business or organization formed by a group of people, and its right and liabilities separate from those of the individuals involved. It may...