Question
On January 1, 2013, Marlin Corporation sold merchandise to Diamonte Inc. and received a non-interest-bearing note that requires Diamonte to pay $375,000 on December 31,
On January 1, 2013, Marlin Corporation sold merchandise to Diamonte Inc. and received a non-interest-bearing note that requires Diamonte to pay $375,000 on December 31, 2014 (the notes maturity date). The current annual market rate of interest on notes of similar risk is 9%. Diamonte paid Marlin $375,000 on December 31, 2014.
Answer the following questions related to the Marlin Corp. in the space provided. If no entry is needed, write, no entry.
a. Prepare the entries necessary on January 1, 2013 to record the sale.
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b. Prepare the entries necessary on December 31, 2013.
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c. Prepare all of the entries necessary on December 31, 2014.
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Portfolio Of Marketing Audits Company Self Assessment Audits
Authors: David Crosby
1st Edition
1902433157, 978-1902433158
