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Ajmal LLC purchased goods worth OMR 8,500 from Safer & Co. on January 12, 2021. Ajmal LLC could not repay it within the credit period
Ajmal LLC purchased goods worth OMR 8,500 from Safer & Co. on January 12, 2021. Ajmal LLC could not repay it within the credit period of 30 days. Therefore, on February 12, 2021 Safer & Co. accepted OMR 3500 cash and a 60-day, 8% notes payable for the remaining amount. Assume the accounting year ends on 31 March 2021. The journal entry to record the payment of notes on April 13, 2021 in the Books of Ajmal LLC INCLUDES; (Consider 365 days in year) a. Interest Payable Cr. 65.750 b. Interest Expenses Dr. 52.600 c. Interest Expenses Dr. 65.750 d. Interest Expenses Dr. 14.250 Ajmal LLC purchased goods worth OMR 8,500 from Safer & Co. on January 12, 2021. Ajmal LLC could not repay it within the credit period of 30 days. Therefore, on February 12, 2021 Safer & Co. accepted OMR 3500 cash and a 60-day, 8% notes payable for the remaining amount. The journal entry to record the above on February 12, 2021 in the Books of Ajmal LLC INCLUDES; a. Accounts Payable Cr. 3,500 b. Accounts Payable Dr. 5,000 C. Cash Dr. 3,500 d. Cash Dr. 5,000 Aseela Establishment borrowed OMR 3,000 from Bank Dhofar by signing a notes payable on 90-day, 10% interest. On the day of borrowing the journal entry in the books of Aseela Establishment INCLUDES; (Consider 360 days in a year) a. Notes Payable Cr. 3,000 b. Cash Dr. 3,075 c. Cash Cr. 3,000 d. Notes Payable Cr. 3,075
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