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Samberg Inc. had the following transactions. Oct. 1 Sold $24,500 of merchandise on account, 2/10, n/30 to McCormick Industries. Nov. 1 Received a $24,500, 90-day,
Samberg Inc. had the following transactions.
- Oct. 1 Sold $24,500 of merchandise on account, 2/10, n/30 to McCormick Industries.
- Nov. 1 Received a $24,500, 90-day, 9% note from McCormick Industries to settle its $24,500 unpaid balance.
- Dec. 31 Accrued interest on the note. (Round your answer to the nearest whole dollar amount.)
- Jan. 31 Received the interest on the notes maturity date.
- Jan. 31 Received the principal on the notes maturity date. (Round your answer to the nearest whole dollar amount.)
Required: Prepare the required journal entries.
- Record the entry for sale of merchandise on account to McCormick Industries
- Record the entry for acceptance of promissory note in exchange of accounts receivable from McCormick Industries.
- Record the entry for interest accrued on promissory note received from McCormick Industries.
- Record the entry for interest received, from McCormick Industries, on the notes maturity date.
- Record the entry for payment received from McCormick Industries the principal on the notes maturity date.
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Cost Management A Strategic Emphasis
Authors: Edward Blocher, David E. Stout, Gary Cokins, Kung Chen
4th Edition
0073128155, 978-0073128153
