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Required information Exercise 7-7 (Algo) Notes payable-discount basis LO 7-2 [The following information applies to the questions displayed below] On May 15, 2022, Powell Incorporated

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Required information Exercise 7-7 (Algo) Notes payable-discount basis LO 7-2 [The following information applies to the questions displayed below] On May 15, 2022, Powell Incorporated obtained a six-month working capital loan from its bank. The face amount of the note signed by the treasurer was $433,800. The interest rate charged by the bank was 7,50%. The bank made the loan on a discount basis. Exercise 7-7 (Algo) Part a Required: a-1. Colculate the loan proceeds made available to Powell. Exercise 7-7 (Algo) Notes payable-discount basis LO 7-2 [The following information applies to the questions displayed below] On May 15, 2022, Powell Incorporated obtained a six-month working capital loan from its bank. The face amount of the note signed by the treasurer was $433,800. The interest rate charged by the bank was 7,50%. The bank made the loan on a discount basis. Exercise 7-7 (Algo) Part a - Horizontal model a-2. Use the horizontal model to show the effect of signing the note and the receipt of the cash proceeds on May 15, 2022. Indicate the financial statement effect. Note: Enter decreases with a minus sign to indicate a negotive financial statement effect. On May 15, 2022, Powell incorporated obtained a six-month working capital loan from its bank. The face amount of the note signed by the treasurer was $433,800. The interest rate charged by the bank was 7.50%. The bank made the loan on a discount basis. Exercise 7.7 (Algo) Part a - Journal entry a-3. Record the joumal entry to show the effect of signing the note and the recelpt of the cash proceeds on May 15, 2022. Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Journal entry worksheet Record the proceeds of a short-term note payable (discount basis). Notel Enter pebis before credits. Exercise 7-7 (Algo) Notes payable-discount basis LO 7-2 [The following information applies to the questions displayed below] On May 15, 2022, Powell incorporated obtained a six-month working capital loan from its bank. The face amount of the note signed by the treasurer was $433,800. The interest rate charged by the bank was 7,50%. The bank made the loan on a discount basis. Exercise 7.7 (Algo) Part c c. What is the amount of the current liability related to this loan to be shown in the June 30,2022 , balance sheet? [The following information applies to the questions displayed below.] On May 15, 2022, Powell Incorporated obtained a six-month working capital loan from its bank. The face amount of the note signed by the treasurer was $433,800. The interest rate charged by the bank was 7.50%. The bank made the loan on a discount basis. Exercise 7-7 (Algo) Part b b. Calculate the amount of interest expense applicable to this loan during the fiscal year ended June 30,2022

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