Question
Lissie Company had the following select transactions. Apr. 1, 2012Accepted Goulding Company's 1-year, 12% note in settlement of a $25,000 account receivable. July 1, 2012Loaned
Lissie Company had the following select transactions.
Apr. 1, 2012Accepted Goulding Company's 1-year, 12% note in settlement of a $25,000 account receivable.
July 1, 2012Loaned $15,000 cash to Jenny Lewis on a 9-month, 10% note.
Dec. 31, 2012Accrued interest on all notes receivable.
Apr. 1, 2013Received principal plus interest on the Goulding note.
Apr. 1, 2013Jenny Lewis dishonored its note: Lissie expects it will eventually collect.
Instructions
Prepare journal entries to record the transactions. Lissie prepares adjusting entries once a year on December 31.
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Managers and the Legal Environment Strategies for the 21st Century
Authors: Constance E Bagley, Diane W Savage
6th Edition
978-0324582048
