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Pockets lent $20,000 to Lego Construction on January 1, 2018. Lego signed a three-year 5% installment note to be paid in three equal payments at
Pockets lent $20,000 to Lego Construction on January 1, 2018. Lego signed a three-year 5% installment note to be paid in three equal payments at the end of each year.
- Please Prepare the journal entry on January 1, 2018 for Pockets' lending the funds.
- Please Calculate the amount of one installment payment.
- What is the amortization schedule for the three-year term of the installment note.
- Please Prepare Pockets' journal entry for the first installment payment on December 31, 2018.
- Please Prepare Pockets' journal entry for the third installment payment on December 31, 2020.
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