Answered step by step
Verified Expert Solution
Question
1 Approved Answer
I need a journal entry for each transactions Purchased equipment for $25,000, signing a six-month, 10% note payable. Recorded the week's sales of $57,000, one-third
I need a journal entry for each transactions
Purchased equipment for $25,000, signing a six-month, 10% note payable. Recorded the week's sales of $57,000, one-third for cash, and two-thirds on account. All sales amounts are subject to a 5% sales tax. Ignore cost of goods sold. Sent last week's sales tax to the state. Borrowed $120,000 on a four-year, 6% note payable that calls for annual payment of interest each April 30. Paid the six-month, 10% note at maturity. Purchased inventory at a cost of $9,000, signing a three-month, 9% note payable for that amount. Accrued warranty expense, which is estimated at 1% of total sales of $600,000. Accrued interest on all outstanding notes payable. Accrued interest for each note separately. Paid off the 9% inventory note, plus interest, at maturity. Paid the interest for one year on the long-term note payableStep by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started