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On June 1, Wildhorse Company Ltd. borrows $74,400 from Acme Bank on a 6-month, $74,400, 10% note. The note matures on December 1. (a)-(c)
On June 1, Wildhorse Company Ltd. borrows $74,400 from Acme Bank on a 6-month, $74,400, 10% note. The note matures on December 1. (a)-(c) - Your answer is partially correct. (a) Prepare a tabular summary to record the note issued on June 1. (b) Prepare a tabular summary to record adjustment on June 30. (c) Prepare a tabular summary to record the repayment at maturity (December 1), assuming monthly adjustments have been Include margin explanations for the changes in revenues and expenses. (If a transaction causes a decrease in Assets, Liabilities or Stockholders' Equity, place a negative sign (or parentheses) in front of the amount entered for the particular Asset, Liability or Equity item that was reduced.)
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