Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Year 1 April 20 Purchased $39,500 of merchandise on credit from Locust, terms n/30. May 19 Replaced the April 20 account payable to Locust

image

Year 1 April 20 Purchased $39,500 of merchandise on credit from Locust, terms n/30. May 19 Replaced the April 20 account payable to Locust with a 90-day, 8%, $35,000 note payable along with paying $4,500 in cash. July 8 Borrowed $57,000 cash from NBR Bank by signing a 120-day, 11%, $57,000 note payable. Paid the amount due on the note to Locust at the maturity date. _? Paid the amount due on the note to NBR Bank at the maturity date. November 28 Borrowed $30,000 cash from Fargo Bank by signing a 60-day, 7%, $30,000 note payable. December 31 Recorded an adjusting entry for accrued interest on the note to Fargo Bank. Year 2 _ ? Paid the amount due on the note to Fargo Bank at the maturity date. 5. Prepare journal entries for all the preceding transactions and events. Note: Do not round your intermediate calculations. View transaction list 4 May, 170 note payavici Paid the amount due on the note to Locust at the maturity date. 5 Paid the amount due on the note to NBR Bank at the maturity date. 6 Borrowed $30,000 cash from Fargo Bank by signing a 60- day, 7%, $30,000 note payable. Credit 7 Recorded an adjusting entry for accrued interest on the note to Fargo Bank. 8 Paid the amount due on the note to Fargo Bank at the maturity date.

Step by Step Solution

3.52 Rating (149 Votes )

There are 3 Steps involved in it

Step: 1

1 April 20 Year 1 Merchandise Inventory Dr 39500 Accounts Payable Cr 39500 To record purchase of mer... blur-text-image

Get Instant Access to Expert-Tailored 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

Document Format ( 2 attachments)

PDF file Icon
66426f3108edb_980592.pdf

180 KBs PDF File

Word file Icon
66426f3108edb_980592.docx

120 KBs Word File

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

Accounting Principles

Authors: Jerry J. Weygandt, Paul D. Kimmel, Donald E. Kieso

9th Edition

978-0470317549, 9780470387085, 047031754X, 470387084, 978-0470533475

More Books

Students also viewed these Accounting questions

Question

=+b) Find a 95% confidence interval for the slope and interpret it.

Answered: 1 week ago