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On the first day of the fiscal year, a company issues $90,000, 6%, five-year installment notes that have annual payments of $21,366. The first note
On the first day of the fiscal year, a company issues $90,000, 6%, five-year installment notes that have annual payments of $21,366. The first note payment consists of $5,400 of interest and $15,966 of principal repayment. Required: Journalize the following transactions. Refer to the chart of accounts for the exact wording of the account titles. CNOW journals do not use lines for journal explanations. Every line on a journal page is used for debit or credit entries. CNOW journals will automatically indent a credit entry when a credit amount is entered. 2011 Jan. 1 Installment notes are issued 2012 Jan 1 First annual note payment is made
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