Exercise 7-18 (Algo) Notes receivable (L07-7) On June 30, 2021, the Esqutre Company sold some merchandise to a customer for $56.000. In payment Esquire agreed to accepta 8% note requiring the payment of interest and principal on March 31, 2022 The 8% rate is appropriate in this situation Required: 1. Prepare journal entries to record the sale of merchandise format any entry that might be required for the cost of the goods sold the December 31, 2021 interest accrual, and the March 31, 2022 collection (Do not round Intermediate calculations.) 2. If the December 31 adjusting entry for the interest accrual is not prepared, by how much wil income before income taxes be over-of understated in 2021 and 20227 Complete this question by entering your answers in the tabs below. Required Required 2 Prepare journal entries to record the tale of marchandise comit any entry that might be required for the cost of the goods sold), the December 31, 2021 interest accrual and the March 31. 1022 collection. If no entry is required for a transaction event select journal entry required in the first account Red.) View transacionit Journal entry worksheet 1 2 Record the sale of marchandise Note: Enter debits before credits Date June 30, 2021 General Journal Det Credit Record entry Clear entry View general journal Required 2 > Exercise 7-18 (Algo) Notes receivable (L07-7) On June 30 2021, the Esquire Company sold some merchandise to a customer for 556.000. In payment Esquire agreed to accepta 8% note requiring the payment of Interest and principal on March 31 2022. The 8% rate is appropriate in this situation Required: 1. Prepare joumol entries to record the sale of merchandise fomit any entry that might be required for the cost of the goods sold), the December 31, 2021 Interest accrual, and the March 31, 2022collection. (Do not round Intermediate calculations.) 2. Ir the December 31 adjusting entry for the Interest accrual is not prepared by how much will income before Income taxes be over-or understated in 2021 and 2022? Complete this question by entering your answers in the tabs below. Required: Required 2 Prepare journal entries to record the sale of merchandise comit any entry that might be required for the cost of the goods sold), the December 31, 2021 Interest accrual, and the March 31, 2022 collection of ne entry is required for a transactionfavent, select "No Journal entry required in the first account feld.) View transaction fist Journal entry worksheet 1 2 3 Record the interest accrual. Note Enter debit before credits Date General Journal Debit Credit December 31, 2021 Record entry Chew entry View general journal Required 2 > Exercise 7-18 (Algo) Notes receivable [LO7-7] On June 30, 2021, the Esquire Company sold some merchandise to a customer for $56.000. In payment. Esquire agreed to accept a 8% note requiring the payment of interest and principal on March 31, 2022 The rate is appropriate in this situation Required: 1. Prepare journal entries to record the sale of merchandise mit any entry that might be required for the cost of the goods sold), the December 31, 2021 Interest accrual, and the March 31, 2022 collection (Do not round Intermediate calculations.) 2. If the December 31 adjusting entry for the interest accrual ts not prepared by how much will income before income taxes be over or understated in 2021 and 2022? Complete this question by entering your answers in the tabs below. Required: Required 2 Prepare journal entries to record the sale of merchandise (omt any entry that might be required for the cost of the goods sold), the December 31, 2021 interest accrual, and the March 31, 2022 collection. Il ne entry required for a transaction/event, select "No joumal entry required in the first account field.) View transaction list Journal entry worksheet Exercise 7-18 (Algo) Notes receivable [LO7-7) On June 30, 2021. the Esquire Company sold some merchandise to a customer for $56,000. In payment. Esquire agreed to accepta 8% note requtring the payment of Interest and principal on March 31, 2022. The 8% rate is appropriate in this situation Required: 1. Prepare journal entries to record the sale of merchandise omit any entry that might be required for the cost of the goods sold), the December 31, 2021 interest accrual, and the March 31, 2022 collection (Do not round Intermediate calculations.) understated in 2021 and 20222 2. If the December 31 adjusting entry for the interest accrual is not prepared by how much will income before income taxes be over-or Complete this question by entering your answers in the tabs below. Required: Flequired 2 If the December 31 adjusting entry for the interest accrual is not prepared, by how much will income before income taxes be over or understated in 2021 and 2022% (Do not round intermediate calculations) 2021 income before income taxes woud be 2022 income before income taxes would be by by
