Question
Sept. 1Purchased inventory from Encino Company on account for $37,600. Sheffield records purchases gross and uses a periodic inventory system.Oct. 1Issued a $37,600, 12-month, 8%
Sept. 1Purchased inventory from Encino Company on account for $37,600. Sheffield records purchases gross and uses a periodic inventory system.Oct. 1Issued a $37,600, 12-month, 8% note to Encino in payment of account. Oct. 1Borrowed $37,600from the Shore Bank by signing a 12-month, zero-interest-bearing $41,680note.
the total net liability to be reported on the December 31 balance sheet for?
(1)The interest-bearing note$
(2)The zero-interest-bearing note$
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Managerial Accounting
Authors: Wendy M. Tietz, Louis Beaubien, Karen W. Braun
3rd Canadian edition
134460826, 134460820, 9780134524818 , 978-0134526270
