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The following are notes receivable transactions for Wildhorse Co.: May 1 Received a $20.000. six-month, 6% note from Jioux Company in settlement of an account
The following are notes receivable transactions for Wildhorse Co.: May 1 Received a $20.000. six-month, 6% note from Jioux Company in settlement of an account receivable. Interest is due at maturity. June 30 Accrued interest on the Jioux note, at Wildhorse's year end. Adjustments are recorded annually. July 31 Lent $1,200 cash to an employee, Noreen Irvine, receiving a two-month, 5% note. Interest is due at the end of each month. Aug 31 Received the interest due from Ms. Irvine. Sept. 30 Received payment in full from Ms. Irvine. Nov. 1 Jioux Company defaulted on its note. Wildhorse does not expect to collect on the note. Record the transactions for Wildhorse Co. Wildhorse Co.uses only one allowance account for both accounts and notes receivable. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter for the amounts. Round answers to decimal places, eg. 5,276. Record journal entries in the order presented in the problem.) Date Account Titles and Explanation Debit Credit Entry for the account titles and enter for the amounts. Round answers to decimal places.es: 5.276. Record journal entries in the order presented in the problem.) Date Account Titles and Explanation Debit Credit May Not Receivable-Jeux 20000 20000 Accounts Receivable-Joux Accept rotafor accounts receivable) June 20 Interest Receivable 200 Interest Revende 200 To accrue interest earned) July 31 1200 > 1200 Loan cash in exchange for nots. Aug 21 Co > S Interest Revende 5 Collect interest earned. Sept. 20 Co 1205 Interest Revenue 5 Notes Receivable-living 1200 To record collection of nate receivable and interest.) Nov. 1 v Allowance for Doudia Account 20600 Incarcat Receivable 500 Not Receivable-loux 20000 To record dishonouring of note where collection is not expected)
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