Question
On December 1 st 2010, in exchange for cleaning services provided, Nook Inc. received a $100,000, 2 year, 10% bond receivable from their customer. Interest
On December 1st 2010, in exchange for cleaning services provided, Nook Inc. received a $100,000, 2 year, 10% bond receivable from their customer. Interest is paid annually on November 31st. The market rate for such bonds is 8%.
Provide the journal entries for this transaction on December 1st 2010.
Provide the adjusting entries on December 31st 2010 associated with the above transaction.
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Fundamental Managerial Accounting Concepts
Authors: Thomas Edmonds, Christopher Edmonds, Bor Yi Tsay, Philip Old
7th edition
978-0077632427, 77632427, 78025656, 978-0078025655
