Question
Marigold Corporation issued a 4-year, $55,000,5% note to Greenbush Company on January 1, 2017, and received a computer that normally sells for $44,762. The note
Marigold Corporation issued a 4-year, $55,000,5% note to Greenbush Company on January 1, 2017, and received a computer that normally sells for $44,762. The note requires annual interest payments each December 31. The market rate of interest for a note of similar risk is11%.
Marigold's journal entries for (a) the January 1 issuance and (b) the December 31 interest?
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Intermediate Accounting IFRS
Authors: Donald E. Kieso, Jerry J. Weygandt, Terry D. Warfield
3rd edition
1119372933, 978-1119372936
