FINANCIAL ACCOUNTING
10th Edition
ISBN: 9781259964947
Author: Libby
Publisher: MCG
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Entries for Notes Payable
Laughlin Enterprises issues a $130,000, 45-day, 6% note to Morrison Industries for merchandise inventory.
Assume a 360-day year. If an amount box does not require an entry, leave it blank.
a. Journalize Laughlin Enterprises’ entries to record:
- the issuance of the note.
- the payment of the note at maturity.
| 1. | fill in the blank 64677a0a8f9b073_2 | fill in the blank 64677a0a8f9b073_3 | |
| fill in the blank 64677a0a8f9b073_5 | fill in the blank 64677a0a8f9b073_6 | ||
| 2. | fill in the blank 64677a0a8f9b073_8 | fill in the blank 64677a0a8f9b073_9 | |
| fill in the blank 64677a0a8f9b073_11 | fill in the blank 64677a0a8f9b073_12 | ||
| fill in the blank 64677a0a8f9b073_14 | fill in the blank 64677a0a8f9b073_15 |
b. Journalize Morrison Industries’ entries to record:
- the receipt of the note.
- the receipt of the payment of the note at maturity.
| 1. | fill in the blank 9616b40e100d004_2 | fill in the blank 9616b40e100d004_3 | |
| fill in the blank 9616b40e100d004_5 | fill in the blank 9616b40e100d004_6 | ||
| 2. | fill in the blank 9616b40e100d004_8 | fill in the blank 9616b40e100d004_9 | |
| fill in the blank 9616b40e100d004_11 | fill in the blank 9616b40e100d004_12 | ||
| fill in the blank 9616b40e100d004_14 | fill in the blank 9616b40e100d004_15 |
Expert Solution
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Step 1: Introduction
Note is a financial instrument which is used against an credit transaction. It can be used to borrow some amounts from other party or it can also be used to purchase the items on credit. Usually note contains an interest rate at which the interest is charged on the borrowed amount.
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- < Entries for discounted note payable A business issued a 60-day note for $39,000 to a bank. The note was discounted at 6%. Assume a 360 days in a year. a. Journalize the entry to record the issuance of the note. If an amount box does not require an entry, leave it blank. If necessary, round your answers to one decimal place. 000 000 b. Journalize the entry to record the payment of the note at maturity. If an amount box does not require an entry, leave it blank. E A Aarrow_forwardBennett Enterprises issues a $400,000, 90-day, 5% note to Spectrum Industries for merchandise inventory. Assume a 360-day year. If an amount box does not require an entry, leave it blank. a. Journalize Bennett Enterprises' entries to record: 1. the issuance of the note. 2. the payment of the note at maturity. 1. 2. b. Journalize Spectrum Industries' entries to record: 1. the receipt of the note. 2. the receipt of the payment of the note at maturity. 1. 2.arrow_forwardEntries for discounted note payable Instructions Chart of Accounts Instructions Journal A business issued a 45-day note for $84,000 to a creditor on account. The note was discounted at 9% Required: Journalize the entries to record (a) the issuance of the note on March 1 and (b) the payment of the note at maturity. Refer to the chart of accounts for the exact wording of the account titles. CNOW journals do not use lines for journal explanations Every line on a journal page is used for debit or credit entries. CNOW journals will automatically indent a credit entry when a credit amount is entered Assume a 360-day year. Round your answers to nearest whole dollar.arrow_forward
- Entries for notes payable Bennett Enterprises issues a $504,000, 30-day, 8 %, note to Spectrum Industries for merchandise inventory. Assume a 360-day year. If required, round your answers to the nearest dollar. If an amount box does not require an entry, leave it blank. Question Content Area a. Journalize Bennett Enterprises' entries to record: the issuance of the note. the payment of the note at maturity. 1. 2. Question Content Area b. Journalize Spectrum Industries' entries to record: the receipt of the note. the receipt of the payment of the note at maturity. 1. 2.arrow_forwardcan I get some help with this question TIAarrow_forward
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