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Pear Company has the following transactions related to notes receivable during the last 2 months of 20X0. Nov. 1 Loaned $45,000 cash to Sara Lui
Pear Company has the following transactions related to notes receivable during the last 2 months of 20X0. Nov. 1 Loaned $45,000 cash to Sara Lui on a 1-year, 5% note. Dec. 11 Sold goods to Magic World Limited, receiving a $65,000, 90-day, 6.5% note. 16 Received an $12,500, 6-month, 7% note in exchange for Good Bullet Companys outstanding accounts receivable. 31 Accrued interest revenue on all notes receivable. (a) Journalize the transactions for Pear Company. (b) Record the collection of the Sara Luis note at its maturity in 20X1.
Pear Company has the following transactions related to notes receivable during the last 2 months of 20X0. Nov. 1 Loaned $45,000 cash to Sara Lui on a 1-year, 5% note. Dec. 11 Sold goods to Magic World Limited, receiving a $65,000, 90-day, 6.5% note. 16 Received an $12,500, 6-month, 7% note in exchange for Good Bullet Company's outstanding accounts receivable. 31 Accrued interest revenue on all notes receivable. Required: (a) Journalize the transactions for Pear Company. (b) Record the collection of the Sara Lui's note at its maturity in 20X1Step by Step Solution
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