I need part a answered for problem 10.3B

479 3. Accrued interest on the mortgage the end of the first week in January 2019. note payable is paid monthly. The next payment is due near 4. Georgia Peach has been sued for $2.00.000 in a product liability case. It is mit a nmany this time, however, to make may have sustained. not possible at a reasonable estimate of the possible loss, if any, that the company Instructions a. Using the information provided, b. Explain briefly how the information in each of the four numbered paragraphs influenced your During the fiscal year ended December 31, Swanlee Corporation engaged in the following transac- prepare the current and long-term liability sections of Geor- each's balance sheet dated December 31,2018. (Within each classification, items may be listed in any order.) presentation of the company's liabilities tions involving notes payable. Accruing July Borrowed S20,000 from Weston Bank, signing a 90-day. 12 percent note payable. Sept. 16 Purchased office equipment from Moontime Equipment. The invoice amount was Oct. 1 Paid Weston Bank the note plus accrued interest Dec. Purchased merchandi S30,000, and Moontime agreed to accept, as full payment, a 10 percent, 3-month mote for the invoice amount Dec. 1 Borrowed $170,000 from Jean Jones, a major corporate stockholder. The corporation issued a $170,000, 5 percent, 120-day note payable. se inventory in the amount of $10,000 from Listen Corporation. Listen accepted a 90-day, 12 percent note as a full setlement of the purchase. Swan- ice Corporation uses a perpetual inventory system ?heS30 000 note payable to Montime Equipment matured today. Swanlee paid the socrsed interst on this note and issued a new 60-da;: 12 percent note payable in the 16 amount of $30,000 to replace the note that matured. a. Prepare journal entries (in general journal form) to record these transactions. Use a 360-day year in making the interest Prepare the adjusting entry needed at December 31, prior to closing the accounts. Usc one entry for all three notes (round to the nearest dollar). b. c. Provide a possible explanation why the new 60-day mote payable to Moontime Equipment pays 16 percent interest instead of the 10 percent rate charged on the September 16 note. On October 1, 2018, Jenco signed a four-year,$100,000 note payable to Vicksburg State Bank in conjunction with the purchase of equipment. The note calls for interest at an annual rate of 12 per- ron and Use of an cent (1 percent per month). The note is fully amortizing over a period of 48 months. The bank sent Jenco an amortization table showing the allocation of monthly payments between interest and principal over the life of the loan. A small part of this amortization table is illustrated as follows. (For convenience, amounts have been rounded to the nearest dollar.) AMORTIZATION TABLE (12%, 4-YEAR NOTE PAYABLE FOR $100,000 PAYABLE IN 48 MONTHLY INSTALLMENTS OF $2,633) Balance $100,000 98,367 96,718 Expense Reduction Interest Period Date Oct. 1, 2018 Nov 1 $1,000 984 $1,633 1649 Issue date $2.633 2.633 Dec. 1