Question
Talkington Electronics issues a $400,000, 8%, 10-year mortgage note on December 31, 2021. The terms of the note provide for annual installment payments of $59,612.
Talkington Electronics issues a $400,000, 8%, 10-year mortgage note on December 31, 2021. The terms of the note provide for annual installment payments of $59,612. Payments are due on December 31.
- Prepare an installment payments schedule for the first 4 years.
- Prepare the entries for:
- The loan on December 31, 2021
- Interest expense incurred during 2021
- annual install payments on Dec 31, 2021
c. Show how the total mortgage liability should be reported on the statement of financial position at December 31, 2022.
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After The Quality Audit Closing The Loop On The Audit Process
Authors: J. P. Russell, Terry Regel
2nd Edition
0873894863, 978-0873894869
