Kitt Company borrows $ 800,000 from Neville Capital by issuing an 8- year (96- month), 12% note

Question:

Kitt Company borrows $ 800,000 from Neville Capital by issuing an 8- year (96- month), 12% note payable. Interest is due and payable each month based on the outstanding balance at the beginning of the month. Kitt assigns $ 850,000 of its as collateral for the lending arrangement. Prepare the journal entries to record the financing arrangement on Kitt’s books. Accounts Receivable
Accounts receivables are debts owed to your company, usually from sales on credit. Accounts receivable is business asset, the sum of the money owed to you by customers who haven’t paid.The standard procedure in business-to-business sales is that...