Cucina Corporation signed a new installment note on January 1, 2021, and deposited the proceeds of $58,700 in its bank account. The note has a 3-year term, compounding 4 percent interest annually, and requires an annual installment payment on December 31. Cucina Corporation has a December 31 year-end and adjusts its accounts only at year-end.**Required:**1. Use an online application, such as the loan calculator with annual payments at [mycalculators.com](http://mycalculators.com), to complete the amortization schedule.2. Prepare the journal entries on (a) January 1, 2021, and December 31 of (b) 2021, (c) 2022, and (d) 2023.3. If Cucina Corporation’s year-end were March 31, rather than December 31, prepare the adjusting journal entry it would make for this note on March 31, 2021.**Instructions:**Complete this question by entering your answers in the tabs below.- **Use an online application** such as the loan calculator with annual payments at [mycalculators.com](http://mycalculators.com) to complete the amortization schedule. (Do not round intermediate calculations. Round final answers to the nearest whole dollar.)#### Amortization Schedule Table:- **Beginning Notes Payable:** - Year 2021: $58,700- **Interest Expense:** - Year 2021: $21,152 - Year 2022: $21,152 - Year 2023: $21,152- **Total Interest Expense Over 3 Years:** $63,456- **Repaid Principal on Notes Payable:** - Year 2021, 2022, and 2023: Values to be calculated- **Ending Notes Payable:** - After calculations and repaymentsExplore each requirement by using the tabs to input your answers and further interpret the amortization data.

Beginning Notes Payable Interest Expense Repaid Principal on Notes Payable Ending Notes Payable…

Cucina Corporation signed a new installment note on January 1, 2021, and deposited the proceeds of $58,700 in its bank account. The note has a 3-year term, compounds 4 percent interest annually, and requires an annual installment payment on December 31. Cucina Corporation has a December 31 year-end and adjusts its accounts only at year-end. Required: 1. Use an online application, such as the loan calculator with annual payments at mycalculators.com, to complete the amortization schedule. 2. Prepare the journal entries on (a) January 1, 2021, and December 31 of (b) 2021, (c) 2022, and (d) 2023. 3. If Cucina Corporation's year-end were March 31, rather than December 31, prepare the adjusting journal entry it would make for this note on March 31, 2021.

Cucina Corporation signed a new installment note on January 1, 2021, and deposited the proceeds of $58,700 in its bank account. The note has a 3-year term, compounds 4 percent interest annually, and requires an annual installment payment on December 31. Cucina Corporation has a December 31 year-end and adjusts its accounts only at year-end. Required: 1. Use an online application, such as the loan calculator with annual payments at mycalculators.com, to complete the amortization schedule. 2. Prepare the journal entries on (a) January 1, 2021, and December 31 of (b) 2021, (c) 2022, and (d) 2023. 3. If Cucina Corporation's year-end were March 31, rather than December 31, prepare the adjusting journal entry it would make for this note on March 31, 2021.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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