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Notes payable On February 1 2019 the company purchased equipment $8,500 and signed a 10 month note with an interest rate of 5.5 % APR.
Notes payable | |
On February 1 2019 the company purchased equipment $8,500 | |
and signed a 10 month note with an interest rate of 5.5 % APR. | |
Loan agreement is the total amount owed, due in 10 months | |
Prepare the following | |
Journal entry for Feb 1 | |
Journal entry for Feb 28 to record the first monthly interest owed | |
Journal entry at maturity when loan is paid to the bank |
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