General Journal General Ledger Schedule of Receivables Calculation of Interest Requirement Trial Balance Prepare the journal entries related to notes receivable and accounts receivable. Hint: Use the "Calculation of Interest" tab to ensure the accuracy of your entries View transaction list Journal entry worksheet 2 4 6 8 Feb. 14 Received Garcia's payment of principal and interest on the $12,000, 60-day, 10% note dated December 16. The Brown Company does not prepare reversing entries. Verify the amount of interest using the "CALCULATION OF INTEREST" tab Note: Enter debits before credits Date General Journal Debit Credit Feb 14 Record entry Clear entry View general journal Requirement General Ledger GL0701- Based on Problem 7-5A LO C2, C3, P4 The following selected transactions are from Brown Company 2016 Dec. 16 Accepted a $12,000, 60-day, 10% note dated this day in granting Jose Garcia a time extension on his past-due account receivable 31 Made an adjusting entry to record the accrued interest on the Garcia note 2017 Feb. 14 Received Garcia's payment of principal and interest on the note dated December 16. Mar. 2 Accepted a $7,000, 10%, 90-day note dated this day in granting a time extension on the past-due account receivable from Martin Co 17 Accepted a $3,000, 30-day, 10% note dated this day in granting Debbie Hall a time extension on her past-due account receivable. Apr. 16 Hall dishonored her note when presented for payment. May 31 Martin Co. refused to pay the note that was due to Brown Co. on May 31. Prepare the journal entry to charge the July 16 Received payment from Martin Co. for the maturity value of its dishonored note plus interest for 46 days beyond Aug. 7 Accepted a $8,000, 90-day, 8% note dated this day in granting a time extension on the past-due account Sep. 3 Accepted a $3,000, 60-day, 10% note dated this day in granting Robert Kng a time extension on his past-due dishonored note plus accrued interest to Martin Co.'s accounts receivable. maturity at 108. receivable of Sanchez Co. account receivable. Nov. 2 Received payment of principal plus interest from King for the September 3 note Nov. 5 Received payment of principal plus interest from Sanchez for the August 7 note. Dec. Wrote off the Hall account against the Allowance for Doubtful Accounts
