Question
On January 1st, 2020 ABC Inc. purchased a truck signing a note payable in 3 equal annual installments of $74,556.55 on December 31st of each
On January 1st, 2020 ABC Inc. purchased a truck signing a note payable in 3 equal annual installments of $74,556.55 on December 31st of each year. The note carries an interest rate of 6%.
(a) Prepare the journal entry to record the first payment on December 31, 2020.
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Intermediate Accounting
Authors: Elizabeth A. Gordon, Jana S. Raedy, Alexander J. Sannella
3rd Edition
0136946690, 978-0136946694
