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Please help. I can not figure out the trucks and discount for problem two Your answer is partially correct. Try again. verbed Corporation operates a
Please help. I can not figure out the trucks and discount for problem two
Your answer is partially correct. Try again. verbed Corporation operates a retail computer store. To Improve delivery services to customers, the company purchases four new trucks on April 1, 2020. The acquisition for each truck are described below. Truck #1 has a list price of $36,750 and is acquired for a cash payment of $34,055. Truck #2 has a list price of $39,200 and is acquired for a down payment of $4,900 cash and a zero-interest-bearing note with a face amount of $34,300. Th is due April 1, 2021. Riverbed would normally have to pay interest at a rate of 9% for such a borrowing, and the dealership has an incremental borrowing ra of 8%. Truck #3 has a list price of $39,200. It is acquired in exchange for a computer system that Riverbed carries in Inventory. The computer system cost $29,400 normally sold by Riverbed for $37,240. Riverbed uses a perpetual inventory system. Truck #4 has a list price of $34,300. It is acquired in exchange for 1,070 shares of common stock in Riverbed Corporation. The stock has a par value per sh $10 and a market price of $13 per share. pare the appropriate journal entries for the above transactions for Riverbed Corporation (Round present value factors to 5 decimal places, e.g. 0.525 eal answers to 2 decimal places, e.g. 52.75. Credit account titles are automatically indented when amount is entered. Do not indent manually. try is required, select "No Entry" for the account titles and inter o for the amounts.) Account Titles and Explanation Debit Credit Trucks 34,055 Cash 34,055 Trucks 31,466.82 Discount on Notes Payable 2833.18 Cash 4,900Step by Step Solution
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