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Year 1 December 16 Accepted a $15,600, 60-day, 10% note in granting Paula Parker a time extension on his past-due account receivable. December 31 Made
Year 1
December 16 | Accepted a $15,600, 60-day, 10% note in granting Paula Parker a time extension on his past-due account receivable. |
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December 31 | Made an adjusting entry to record the accrued interest on the Parker note. |
Year 2
February 14 | Received Parkers payment of principal and interest on the note dated December 16. |
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March 2 | Accepted a $7,000, 10%, 90-day note in granting a time extension on the past-due account receivable from King Company |
March 17 | Accepted a $12,000, 30-day, 7% note in granting Than Nguyen a time extension on her past-due account receivable. |
April 16 | Nguyen dishonored her note. |
31 | King Company dishonored its note. |
August 7 | Accepted a $10,000, 90-day, 10% note in granting a time extension on the past-due account receivable of Clark Company |
September 3 | Accepted a $5,400, 60-day, 10% note in granting Leslie Stone a time extension on his past-due account receivable. |
November 2 | Received payment of principal plus interest from Stone for the September 3 note. |
November 5 | Received payment of principal plus interest from Clark for the August 7 note. |
December 1 | Wrote off the Nguyen account against the Allowance for Doubtful Accounts. |
Prepare the journal entries related to notes receivable and accounts receivable. Hint: Use the "Calculation of Interest" tab to ensure the accuracy of your entries.
Journal entry worksheet 6789 February 14 Received Parker's payment of principal and interest on the $15,600,60-day, 10\% note dated December 16 . The Allen Company does not prepare reversing entries. Verify the amount of interest using the "CALCULATION OF INTEREST" tab. Note: Enter debits before credits. Journal entry worksheet 678910 March 2 Accepted an $7,000,10%, 90-day note in granting a time extension on the past-due account receivable from King Company Note: Enter debits before credits. Journal entry worksheet 6789 March 17 Accepted a $12,000,30-day, 7% note in granting Than Nguyen a time extension on her past-due account receivable. Note: Enter debits before credits. Journal entry worksheet Ivore: ELer aeDiss Derore creairs. Journal entry worksheet Note: tnter deDits Derore creaitsStep by Step Solution
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