The following instalment payment schedule is for an instalment note payable: Cash Payment Interest Expense Reduction of Principal Principal Balance $ 158,000 $ 26,070 $ 6,320 $19.750 138,250 Interest Period Jan 1, 2021 July 1, 2021 Jan 1, 2022 July 1 2022 Jan 1, 2023 25,280 5,530 19,750 24.490 4,740 19,750 118.500 98.750 79.000 23,700 3,950 19,750 Is this a fixed principal or blended payment schedule? Using your data from WileyPlus and your calculations in Part A below Complete this chart Date of the instalment note payable Principal amount borrowed Term in YEARS of the loan calculate this below in Part A for marks then enter your answer here Interest rate (annual) calculate this below in Part A for marks then enter your answer here Principal payment First payment date Part A: 1 Is this a fixed principal or blended payment schedule? 2 Are payments annual, semi annual or quaterly? 3 Calculate the annual rate of interest on the note. 4 What is the term of the note (in YEARS)? 1 mark 1 mark 2 marks 2 marks Part B: Prepare journal entries to record 1) the instalment note payable on the date of issue (1 mark), and 2) the entry for January 1, 2022 instalment payment (3 marks). Date Account Name Debit Credit Part C: Prepare the company's partial balance sheet (liability section ONLY) at April 30, 2022.(4 marks)
Balance Sheet The following instalment payment schedule is for an instalment note payable: Cash Payment Interest Expense Reduction of Principal Principal Balance $ 158,000 $ 26,070 $ 6,320 $19.750 138,250 Interest Period Jan 1, 2021 July 1, 2021 Jan 1, 2022 July 1 2022 Jan 1, 2023 25,280 5,530 19,750 24.490 4,740 19,750 118.500 98.750 79.000 23,700 3,950 19,750 Is this a fixed principal or blended payment schedule? Using your data from WileyPlus and your calculations in Part A below Complete this chart Date of the instalment note payable Principal amount borrowed Term in YEARS of the loan calculate this below in Part A for marks then enter your answer here Interest rate (annual) calculate this below in Part A for marks then enter your answer here Principal payment First payment date Part A: 1 Is this a fixed principal or blended payment schedule? 2 Are payments annual, semi annual or quaterly? 3 Calculate the annual rate of interest on the note. 4 What is the term of the note (in YEARS)? 1 mark 1 mark 2 marks 2 marks Part B: Prepare journal entries to record 1) the instalment note payable on the date of issue (1 mark), and 2) the entry for January 1, 2022 instalment payment (3 marks). Date Account Name Debit Credit Part C: Prepare the company's partial balance sheet (liability section ONLY) at April 30, 2022.(4 marks) Balance Sheet
