Fairborne Company borrowed $600,000 on an 8%, interest-bearing note on October 1, 2019. Fairborne ends its fiscal
Question:
Required:
1. Prepare the entry for this note on October 1, 2019.
2. Prepare the adjusting entry for this note on December 31, 2019.
3. Indicate how the note and the accrued interest would appear in the balance sheet at December 31, 2019.
4. Prepare the entry to record the repayment of the note on May 1, 2020.
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
1 Journal Date Account and Explanation Debit Credit 2019 Oct 1 Cash 60...View the full answer
Answered By
Asim farooq
I have done MS finance and expertise in the field of Accounting, finance, cost accounting, security analysis and portfolio management and management, MS office is at my fingertips, I want my client to take advantage of my practical knowledge. I have been mentoring my client on a freelancer website from last two years, Currently I am working in Telecom company as a financial analyst and before that working as an accountant with Pepsi for one year. I also join a nonprofit organization as a finance assistant to my job duties are making payment to client after tax calculation, I have started my professional career from teaching I was teaching to a master's level student for two years in the evening.
My Expert Service
Financial accounting, Financial management, Cost accounting, Human resource management, Business communication and report writing. Financial accounting : • Journal entries • Financial statements including balance sheet, Profit & Loss account, Cash flow statement • Adjustment entries • Ratio analysis • Accounting concepts • Single entry accounting • Double entry accounting • Bills of exchange • Bank reconciliation statements Cost accounting : • Budgeting • Job order costing • Process costing • Cost of goods sold Financial management : • Capital budgeting • Net Present Value (NPV) • Internal Rate of Return (IRR) • Payback period • Discounted cash flows • Financial analysis • Capital assets pricing model • Simple interest, Compound interest & annuities
65+ Reviews
86+ Question Solved
Related Book For 
Question Posted:
