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MJ Enterprises borrowed $200,000 on November 1, 2022 to meet upcoming working capital needs. MJ issued a five-month, 7% promissory note to First Bank under
| MJ Enterprises borrowed $200,000 on November 1, 2022 to meet upcoming | |||||||||
| working capital needs. MJ issued a five-month, 7% promissory note to First | |||||||||
| Bank under a prearranged line of credit. Interest on the note is payable at | |||||||||
| maturity. MJ's fiscal year-end is December 31st. | |||||||||
| REQUIRED: | |||||||||
| 1-1 | Prepare the journal entry to record the issuance of the note by MJ. | ||||||||
| 1-2 | Prepare the journal entries that MJ will subsequently record related to the note. | ||||||||
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Auditing Theory And Practice
Authors: Jerry R. Strawser, Robert H. Strawser
9th Edition
0873939336, 978-0873939331
