Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

notes payable during 2023: Nov, 15 Purchased inventory costing $45,000 by signing a 60 -day. 6% note payable. Dec. 1 Purchased additional inventory costing $30,000

image text in transcribed
notes payable during 2023: Nov, 15 Purchased inventory costing $45,000 by signing a 60 -day. 6% note payable. Dec. 1 Purchased additional inventory costing $30,000 by signing a 120-day, 7% note payable. Dec. 13 Gave a 180-day, $20,000 note payable at the bank at 7.5% for a cash loan. Prepare any necessary adjusting entries related to the above notes as of December 31,2023 . 2) Very Bouys inc. had cash sales of $650,000 during the month of December and collected the 8% sales tax on these sales required by the province in which Very Bourys operates. Very Bouys must remit the sales tax to the province. Required: Prepare all necessary journal entries to account for the collection and payment of the sales tax assuming Very Bouys maintains a separate sales tax account. 3) Newtowne Furniture Gallery issued two notes payable during 2023. Pertinent data on these notes are shown below: In addition to the above two notes, Newtowne Furniture Gallery gave a $50,000,8%,180-day note to the First City Bank on September 2, 2023 for a cash loan. Prepare adjusting entries on December 31, 2023, for the above three notes

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Fundamental financial accounting concepts

Authors: Thomas P. Edmonds, Frances M. Mcnair, Philip R. Olds, Edward

8th edition

978-007802536, 9780077648831, 0078025362, 77648838, 978-0078025365

More Books

Students also viewed these Accounting questions

Question

Identify the job expectancy rights of employees.

Answered: 1 week ago