Problem 14-11 (Algo) Note with unrealistic interest rate (LO14-3] At January 1, 2021, Brant Cargo acquired equipment by issuing a five-year, $200,000 (payable at maturity), 6% note. The market rate of interest for notes of similar risk is 10%. (FV of $1, PV of $1, FVA of $1, PVA of $1, FVAD of $1 and PVAD of $1) (Use appropriate factor(s) from the tables provided.) Required: 1. to 3. Prepare the necessary journal entries for Brant Cargo. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Round your final answers to the nearest whole dollar) View transaction list Journal entry worksheet 1 3 > Record the purchase of equipment. Note: Enter debits before credits. Date General Journal Debit Credit January 01, 2021 Equipment Discount on notes payable Notes payable Record entry Clear entry View general journal Problem 14-11 (Algo) Note with unrealistic interest rate [LO14-3] At January 1, 2021, Brant Cargo acquired equipment by issuing a five-year, $200,000 (payable at maturity), 6% note. The market rate of interest for notes of similar risk is 10%. (FV of $1, PV of $1, FVA of $1, PVA of $1, FVAD of $1 and PVAD of $1) (Use appropriate factor(s) from the tables provided.) Required: 1. to 3. Prepare the necessary journal entries for Brant Cargo. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Round your final answers to the nearest whole dollar) View transaction list Journal entry worksheet Record the interest expense. Note: Enter debits before credits. Date General Journal Debit Credit December 31, 2021 Interest expense Discount on notes payable Cash Record entry Clear entry View general journal Problem 14-11 (Algo) Note with unrealistic interest rate (LO14-3] At January 1, 2021, Brant Cargo acquired equipment by issuing a five-year, $200,000 (payable at maturity), 6% note. The market rate of interest for notes of similar risk is 10%. (FV of $1, PV of $1, FVA of $1, PVA of $1, FVAD of $1 and PVAD of $1) (Use appropriate factor(s) from the tables provided.) Required: 1. to 3. Prepare the necessary journal entries for Brant Cargo. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Round your final answers to the nearest whole dollar) View transaction list Journal entry worksheet 2 3 > Record the interest expense. Note: Enter debits before credits. Date General Journal Debit Credit December 31, 2022 Interest expense Discount on notes payable Cash Record entry Clear entry View general journal
