On the first day of the fiscal year, a company issues $63,000, 12%, five-year installment notes that have annual payments of $17,477. The first note
On the first day of the fiscal year, a company issues $63,000, 12%, five-year installment notes that have annual payments of $17,477. The first note payment consists of $7,560 of interest and $9,917 of principal repayment.
a. Journalize the entry to record the issuance of the installment notes. If an amount box does not require an entry, leave it blank.
| Accounts PayableBonds PayableCashInterest ExpenseInterest PayableNotes Payable | - Select - | - Select - | |
| Accounts PayableBonds PayableCashInterest ExpenseInterest PayableNotes Payable | - Select - | - Select - |
b. Journalize the first annual note payment. If an amount box does not require an entry, leave it blank.
| Accounts PayableBonds PayableCashInterest ExpenseInterest PayableInterest Receivable | - Select - | - Select - | |
| Accounts PayableAccounts ReceivableBonds PayableCashInterest PayableNotes Payable | - Select - | - Select - | |
| Accounts PayableBonds PayableCashInterest ExpenseInterest PayableNotes Payable | - Select - |
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Authors: Donald E. Kieso, Jerry J. Weygandt, Terry D. Warfield
12th Edition
0470128755, 978-0470128756
