Question
E8-10 (Algo) Recording Notes Receivable Transactions, Including Accrual Adjustment for Interest [LO 8-3] The following transactions took place for Smart Solutions Incorporated. 2020 a. July
E8-10 (Algo) Recording Notes Receivable Transactions, Including Accrual Adjustment for Interest [LO 8-3]
The following transactions took place for Smart Solutions Incorporated.
| 2020 | |
|---|---|
| a. July 1 | Loaned $66,000 to employees of the company and received back one-year, 8 percent notes. |
| b. December 31 | Accrued interest on the notes. |
| c. July 1 | Received interest on the notes. (No interest has been recorded since December 31.) |
| d. July 1 | Received principal on the notes. |
Required:
Prepare the journal entries that Smart Solutions Incorporated would record for the above transactions.
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Treasury Financial Manual Volume 1 Book 2
Authors: US Treasury
1st Edition
1790318432, 978-1790318438
