On September 30, 2022, Team Bank loaned $94,000 to Kendall Warner on a 1-year, 6 percent note.

Question:

On September 30, 2022, Team Bank loaned $94,000 to Kendall Warner on a 1-year, 6 percent note. Team’s fiscal year ends on December 31.

Required

1. Journalize all entries for Team Bank related to the note for 2022 and 2023.

2. Which party has a
a. Note receivable?
b. Note payable?
c. Interest revenue?
d. Interest expense?

3. Suppose that Kendall Warner defaulted on the note. What entry would Team record for the dishonoured note?

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Horngrens Accounting Volume 1

ISBN: 9780135359709

11th Canadian Edition

Authors: Tracie Miller Nobles, Brenda Mattison, Ella Mae Matsumura, Carol Meissner, JoAnn Johnston, Peter Norwood

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Question Posted: May 15, 2023 09:17 AM

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On September 30, 2022, Team Bank loaned $94,000 to Kendall Warner on a 1-year, 6 percent note.

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1 Journalize all entries for Team Bank related to the note for 2022 and 2023 a September 30 2022 Not...View the full answer

Horngrens Accounting Volume 1

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