Record the following transactions in the journal of Redmond Printing Supply, Inc. Explanations are not required. Use
Question:
Record the following transactions in the journal of Redmond Printing Supply, Inc. Explanations are not required. Use a 360-day year for interest computations and round to the nearest dollar.
2017
Dec 19 Received a $2,400, 60-day, 8% note on account from The CGS Publishing.
31 Made an adjusting entry to accrue interest on The CGS Publishing note.
2018
Feb 18 Collected the maturity value of The CGS Publishing note.
Jun 1 Loaned $2,000 cash to Century Publishing, receiving a six-month, 7% note.
Oct 31 Received a $3,500, 90-day, 10% note from Erickson Printing Service on its past-due account receivable.
Dec 1 Collected the maturity value of the Century Publishing note.
Dec 31 Make an adjusting entry to accrue interest on the Erickson Printing Service note.
Maturity is the date on which the life of a transaction or financial instrument ends, after which it must either be renewed, or it will cease to exist. The term is commonly used for deposits, foreign exchange spot, and forward transactions, interest...
Step by Step Answer:
Journal DATE ACCOUNTS POST REF Dr Cr 2017 Dec 19 Note receivable x CGS ...View the full answer
