I am preparing an adjusted Trial balance and cant find (current) notes payable and (long term) notes payable, I do know notes payable (current) and notes payable (longterm) should add up to 111,380 Accounts Debit Credit Cash $ 12,500 Accounts Receivable 36,600 Inventory 153,300 Land 80,300 Buildings 133,000 Allowance for Uncollectible Accounts $ 3,100 Accumulated Depreciation 10,900 Accounts Payable 32,000 Common Stock 213,000 Retained Earnings 156,700 Totals $ 415,700 $ 415,700 During January 2021, the following transactions occur Prepare an adjusted trial balance as of January 31, 2021 1 Borrow $113,000 from Captive Credit Corporation The installment note bears interest at 6 annually and matures in 5 years Payments of $2,185 are required at the end of each month for 60 months January 4 Receive $32,300 from customers on accounts receivable January 10 Pay cash on accounts payable, $24,000 January 15 Pay cash for salaries, $30,200 January 30 Firework sales for the month total $201,200 Sales include $66,300 for cash and $134,900 on account The cost of the units sold is $119,000 January 31 Pay the first monthly installment of $2,185 related to the $113,000 borrowed on January 1 Round your interest calculation to the nearest dollar

The Answer is in the image, click to view ...

Answered step by step

Verified Expert Solution

Link Copied!

Question

1 Approved Answer

Posted on Jul 06, 2024

I am preparing an adjusted Trial balance and cant find (current) notes payable and (long term) notes payable, I do know notes payable (current) and

I am preparing an adjusted Trial balance and cant find (current) notes payable and (long term) notes payable, I do know notes payable (current) and notes payable (longterm) should add up to 111,380.

Accounts	Debit		Credit
Cash	$	12,500
Accounts Receivable		36,600
Inventory		153,300
Land		80,300
Buildings		133,000
Allowance for Uncollectible Accounts			$	3,100
Accumulated Depreciation				10,900
Accounts Payable				32,000
Common Stock				213,000
Retained Earnings				156,700
Totals	$	415,700	$	415,700

During January 2021, the following transactions occur:

Prepare an adjusted trial balance as of January 31, 2021.

1		Borrow $113,000 from Captive Credit Corporation. The installment note bears interest at 6% annually and matures in 5 years. Payments of $2,185 are required at the end of each month for 60 months.
January 4		Receive $32,300 from customers on accounts receivable.
January 10		Pay cash on accounts payable, $24,000.
January 15		Pay cash for salaries, $30,200.
January 30		Firework sales for the month total $201,200. Sales include $66,300 for cash and $134,900 on account. The cost of the units sold is $119,000.
January 31		Pay the first monthly installment of $2,185 related to the $113,000 borrowed on January 1. Round your interest calculation to the nearest dollar.