Question
Kingbird Company had the following select transactions. Apr. 1, 2022 Accepted Goodwin Companys 12-month, 6% note in settlement of a $38,000 account receivable. July 1,
Kingbird Company had the following select transactions.
| Apr. | 1, 2022 | Accepted Goodwin Companys 12-month, 6% note in settlement of a $38,000 account receivable. | |
| July | 1, 2022 | Loaned $17,000 cash to Thomas Slocombe on a 9-month, 12% note. | |
| Dec. | 31, 2022 | Accrued interest on all notes receivable. | |
| Apr. | 1, 2023 | Received principal plus interest on the Goodwin note. | |
| Apr. | 1, 2023 | Thomas Slocombe dishonored its note; Kingbird expects it will eventually collect. |
Prepare journal entries to record the transactions. Kingbird prepares adjusting entries once a year on December 31.
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Advanced Accounting
Authors: Joe Hoyle, Thomas Schaefer, Timothy Doupnik
10th edition
0-07-794127-6, 978-0-07-79412, 978-0077431808
