Elburn Supply Co. has the following transactions related to notes receivable during the last 2 months of 2014. The company does not make entries to accrue interest except at December 31. • • • • November 1: Loaned $16,000 cash to Manny Lopez on a 12-month, 12% note. December 11: Sold goods to Ralph Kremer, Inc., receiving a $37,800, 90-day, 10% note. December 16: Received a $39,200, 180-day, 12% note in exchange for Joe Fernetti's outstanding accounts receivable. December 31: Accrued interest revenue on all notes receivable. a. Journalize the transactions for Elbum Supply Co. b. Record the collection of the Lopez note at its maturity in 2015.

Elburn Supply Co. has the following transactions related to notes receivable during the last 2 months of 2014. The company does not make entries to accrue interest except at December 31. • • • • November 1: Loaned $16,000 cash to Manny Lopez on a 12-month, 12% note. December 11: Sold goods to Ralph Kremer, Inc., receiving a $37,800, 90-day, 10% note. December 16: Received a $39,200, 180-day, 12% note in exchange for Joe Fernetti's outstanding accounts receivable. December 31: Accrued interest revenue on all notes receivable. a. Journalize the transactions for Elbum Supply Co. b. Record the collection of the Lopez note at its maturity in 2015.

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter6: Cash And Receivables

Section: Chapter Questions

Problem 14RE: On June 1, Phillips Corporation sold, with recourse, a note receivable from a customer to a bank....

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