Question
On November 1, 2016 Oliver Inc. converted a $20,000 accounts payable owed to Leave Corp. to a note payable with an interest rate of 10%
On November 1, 2016 Oliver Inc. converted a $20,000 accounts payable owed to Leave Corp. to a note payable with an interest rate of 10% annum due on January 31, 2017.
Required:
- Record the November 1, 2016 transaction in the records of Oliver.
- Record the adjusting entry needed on December 31, 2016 of Oliver.
- Record the journal entry for the January 31, 2017 payment of Oliver.
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Accounting Information Systems
Authors: Vernon Richardson, Chengyee Chang, Rod Smith
2nd edition
1260153156, 1260153150, 978-1260153156
