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The business borrows $550,000 from NAB Bank on 3rd March 2020 to finance the Store Building to be used for the retail business. The loan
The business borrows $550,000 from NAB Bank on 3rd March 2020 to finance the Store Building to be used for the retail business. The loan is a 7-year secured business loan, with an interest rate of 8.5% per annum and monthly repayments of $8,830 recorded on the 25th of each month. Therefore, interest is charged to the loan monthly on 25th of each month and payments of $8,830 will be made monthly on the 25th day of each month. The loan is an GST exempt transaction. Use Xero to establish a business that is titled as Question 4, Student ID Number and your Name as the Business name (e.g. Question4_1234567_Alireza_Vafaei) and record one-month inventory transactions. Required 1. Use the journal entry screen to record proceeds from a business loan you received from the NAB Bank on 3rd March 2020. 2. Create a journal entry to record the monthly loan payment and the interest paid at 25th March 2020. 3. Create the month end journal entry to accrue the interest payable on the loan for March. (Make sure you create all the necessary accounts required). Once all the transactions have been entered into the Xero software then attach the Journal Report from 1 March to 31 March 2020 in PDF format
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