Question
The following are selected 2025 transactions of Blossom Corporation. Sept. 1 Purchased inventory from Encino Company on account for $52,500. Blossom records purchases gross and
The following are selected 2025 transactions of Blossom Corporation.
Sept. 1 Purchased inventory from Encino Company on account for $52,500. Blossom records purchases gross and uses a periodic inventory system.
Oct. 1 Issued a $52,500, 12-month, 8% note to Encino in payment of account.
Oct. 1 Borrowed $52,500 from the Shore Bank by signing a 12-month, zero-interest-bearing $56,700 note.
Prepare journal entries for the selected transactions above.
Prepare to adjust entries on December 31. Round answers to 0 decimal places, e.g. 5,125.
Compute The interest-bearing note$
Compute the zero-interest-bearing note $
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