Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

The following selected transactions are from Ohlm Company. (Use 360 days a year.) 2016 Dec. 16 Accepted a $11,200, 60-day, 7 note dated this day

image text in transcribed
image text in transcribed
image text in transcribed
The following selected transactions are from Ohlm Company. (Use 360 days a year.) 2016 Dec. 16 Accepted a $11,200, 60-day, 7 note dated this day in granting Danny Todd a tine extension on his past-due account receivable. 31 Made an adjusting entry to record the accrued interest on the Todd note . 2017 Feb. 14 Received Todd's payment of principal and interest on the note dated December 16. Mar. 2 Accepted a(n) $6,600, 78, 90-day note dated this day in granting a time extension on the past-due account receivable from Midnight Co. 17 Accepted a(n) $3,000, 30-day, 7% note dated this day in granting Ava Privet a time extension on her past-due account receivable. Apr. 16 Privet dishonored her note when presented for payment. May 31 Midnight Co. refused to pay the note that was due to Ohlm Co. on May 31. Prepare the journal entry to charge the dishonored note plus acerued interest to Midnight Co. 's accounts receivable. beyond maturity at 78. receivable of Mulan Co. account receivable. July 16 Received payment from Midnight Co. for the maturity value of its dishonored note plus interest for 46 days Aug. 7 Accepted a(n) $8,800, 90-day, 10 note dated this day in Scanting a tine extension on the past-due account Sep. 3 Accepted a(n) S2,8 40, 60-day, 9% note dated this day in granting Noah Carson a time extension on his past-due Nov. 2 Received payment of principal plus interest from Carson for the Sept Nov. 5 Received payment of principal plus interest from Nula ember 3 note. n for the August 7 note. Dec. 1 Wrote off the Privet account against the Allowance for Doubtful Accounts. Required: 1-a. First, complete the table below to calculate the interest amount at December 31, 2016. 1-b. Use the calculated value to prepare your journal entries for 2016 transactions 1-c. First, complete the table below to calculate the interest amounts 1-d. Use those calculated values to prepare your journal entries for 2017 transactions

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access with AI-Powered Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Advanced Accounting

Authors: Joe Hoyle, Thomas Schaefer, Timothy Doupnik

10th edition

0-07-794127-6, 978-0-07-79412, 978-0077431808

Students also viewed these Accounting questions