Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

create a journal entry using the following information The following transactions are from Ohim Componin. Note: Use 360 days a year. Year 1 December 16

create a journal entry using the following information
image text in transcribed
The following transactions are from Ohim Componin. Note: Use 360 days a year. Year 1 December 16 Accepted a(n) $10,700,60-day, 6\% note in granting Danny Todd a time extension on his past-due account receivable. December 31 Made an adjusting entry to record the accrued interest on the Todd note. Year 2 February 14 Received Todd's payment of principal and interest on the note dated December 16. March 2 Accepted a(n)$7,600,6%,90-day note in granting a tine extension on the past-due account receivable from Midnight Company. March 17 Accepted a $2,300,30-day, 74 note in granting Ava Privet a time extension on her past-due account receivable. April 16 Privet dishonored her note. May 31 Midnight Conpany dishonored its note. August 7 Accepted a(n) $8,300,90-day, 9$ note in granting a tine extension on the past-due account receivable of Mulan Company. September 3 Accepted a $2,400,60-day, 94 note in granting Noah carson a time extension on his past-due account receivable. Novenber 2 Received paynent of principal plus interest from Carson for the Septenber 3 note. November 5 Received payment of principal plus interest from Mulan for the August 7 note. December 1 Wrote off the Privet account against the Allowance for Doubtful Accounts. Required: 1-a. First, complete the table below to calculate the interest amount at December 31, Year 1 . 1.b. Use the calculated value to prepare your joumal entries for Yoer 1 transactions. 1-c. Arst, complete the table below to calculate the interest amounts. 1.d. Use those caiculated values to prepare your journal entries for Year 2 transactions. 2. If Ohim pledged its receivables as security for a loan from the benk, where on the financial statements does it disclose this pledge of receivibles? Complete this question by entering your answers in the tabs below. Use those calculated values to prepare your journal entries for Year 2 transactions. Journal entry worksheet Note: Enter debits before credits

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Introductory Accounting Finance And Auditing For Lawyers

Authors: Lawrence A. Cunningham

5th Edition

0314912606, 978-0314912602

More Books

Students also viewed these Accounting questions