Bank of Houston loaned Monette Paint Company $1 650,000 on May 1.2000 The loan plus interest of g% is payable on May 1,20X1. Requirements 1. Using the balanoe sheet equation format, prepare an analysis of the impact of the transaction on both Bank of Houston's and Monetti's inancial postion on May 1, 20X0. Show the summary adjustments on December 31, 20x(0, for the period May 1 to December 31. Prepare an analysis of the transaction that takes place on May 1, 200X1, when Monette repays its obligation 2 Prepare a fusting pinal entries for Bank of Houston and Monette on December 31, 200 3. Prepare the entries that Bank of Houston and Monette would make on May 1, 20X1 when the loan and interest is repaid. These entries should include inderest that accumuiates between January 1, 20X1 and May 120x1. Requirement 1. By using the balance sheet equation format, prepare an analysis of the impact of the transaction on both Bank of Houston's and Monette's financial position on May 1, 20x0. Show the summay odustrnets on December 31200, for the penod May 1 to December 31, Prepare an analysis of the transaction that takes place on May 1, 201, when Monetto repays is otigation Begin by prepar ng the analysis for ark of Houston. Use parerteses or a minus sign to show a decrewe n the balace sheet equation leave any unused cells buk ompoert Assets Liabilities Stockholders Equity Accrued Accrued Interest Expenn Note Note Interest Cash " Payable 20x0 May 1 Dec 31 2Ox1 May 1 Bank of Houston loaned Monette Paint Company $1 650,000 on May 1.2000 The loan plus interest of g% is payable on May 1,20X1. Requirements 1. Using the balanoe sheet equation format, prepare an analysis of the impact of the transaction on both Bank of Houston's and Monetti's inancial postion on May 1, 20X0. Show the summary adjustments on December 31, 20x(0, for the period May 1 to December 31. Prepare an analysis of the transaction that takes place on May 1, 200X1, when Monette repays its obligation 2 Prepare a fusting pinal entries for Bank of Houston and Monette on December 31, 200 3. Prepare the entries that Bank of Houston and Monette would make on May 1, 20X1 when the loan and interest is repaid. These entries should include inderest that accumuiates between January 1, 20X1 and May 120x1. Requirement 1. By using the balance sheet equation format, prepare an analysis of the impact of the transaction on both Bank of Houston's and Monette's financial position on May 1, 20x0. Show the summay odustrnets on December 31200, for the penod May 1 to December 31, Prepare an analysis of the transaction that takes place on May 1, 201, when Monetto repays is otigation Begin by prepar ng the analysis for ark of Houston. Use parerteses or a minus sign to show a decrewe n the balace sheet equation leave any unused cells buk ompoert Assets Liabilities Stockholders Equity Accrued Accrued Interest Expenn Note Note Interest Cash " Payable 20x0 May 1 Dec 31 2Ox1 May 1
