Answered step by step
Verified Expert Solution
Question
00
1 Approved Answer
Required information Exercise 9-24 (Algo) Complete the accounting cycle using long-term liability transactions (LO9-2, 9-8) [The following information applies to the questions displayed below.] On
Required information Exercise 9-24 (Algo) Complete the accounting cycle using long-term liability transactions (LO9-2, 9-8) [The following information applies to the questions displayed below.] On January 1, 2024, the general ledger of Freedom Fireworks includes the following account balances: During January 2024 , the following transactions occur: January 1 Barrou $111,000 from Captive Credit corporation. The installment note bears interest at 64 annually and matures in 5 years. Payments of $2,146 are required at the end of each month for 60 nonths. January 4 Receive $32,100 fron custoners on accounts receivable. January 10 Pay cash on accounts payable, $22,000. January 15 Pay cash for sataries, $30,000. January 30 Firework sales for the nonth total $208,800. The cost of the units sold is $118,806. January 31 Pay the first nonthly instatlment of $2,146 related to the $111,600 borrowed on January 1 . Complete this question by entering your answers in the tabs below. Calculate the debt to equity ratio. Calculate the times interest earned ratio
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access with AI-Powered Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started