Q.No.4. Following are the transactions given, you are required to pass Journal Entries for each and every transaction. o A bank loans the Business named, ABC Company ,$1,020,000; o The note has a 15% interest rate, payable quarterly to the bank. o ABC wires funds to the bank to pay for the interest expense, o On the date specified in the agreement, ABC pays the $1,020,000 loan back to the lender. o The Business Purchases made from Salim and Co. worth of $12000 o Salim and Co. retuned defective goods worth of 500 Dollars o The Business Sold goods for $ 10,000 for cash o Few goods were returned back to the business worth of 300 Dollars o The Business paid rent worth of $ 500 o The Business paid salaries worth of $ 5,000

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
icon
Related questions
icon
Concept explainers
Question
100%

Q.No.4. Following are the transactions given, you are required to pass Journal Entries for each and every transaction.
o A bank loans the Business named, ABC Company ,$1,020,000;
o The note has a 15% interest rate, payable quarterly to the bank.
o ABC wires funds to the bank to pay for the interest expense,
o On the date specified in the agreement, ABC pays the $1,020,000 loan back to the lender.
o The Business Purchases made from Salim and Co. worth of $12000
o Salim and Co. retuned defective goods worth of 500 Dollars
o The Business Sold goods for $ 10,000 for cash
o Few goods were returned back to the business worth of 300 Dollars
o The Business paid rent worth of $ 500
o The Business paid salaries worth of $ 5,000

Expert Solution
steps

Step by step

Solved in 2 steps with 2 images

Blurred answer
Knowledge Booster
Completing the Accounting Cycle
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.
Similar questions
Recommended textbooks for you
FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
Accounting
ISBN:
9781259964947
Author:
Libby
Publisher:
MCG
Accounting
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education