Ex 10-19 Entries for installment note transactions - Explain the meaning of the $5,955 million unfunded pension liability and the $432 millionEX 10-17 Pension plan entriesYuri Co. operates a chain of gift shops. The companyWhims Funds, by the fifteenth of the month following the end of each quarter. Assume that theYuri Co. operates a chain of gift shops. The company maintains a defined contribution pensionplan for its employees. The plan requires quarterly installments to be paid to the funding agent,a. Journalize the entries to record the accrued pension liability on December 31 and the paymentIn a recent year's financial statements, Procter & Gamble (PG) showed an unfunded pensionSHOW ME HOWpension cost is $365,000 for the quarter ended December 31.a. Journalize the entries to record the accrued pension liability on December 31 and theto the funding agent on January 15.b.How does a defined contribution plan differ from a defined benefit plan?Obj. 3EX 10-18 Defined benefit pension plan termsliability of $5,955 million and a periodic pension cost of $432 million.REAL WORLDExplain the meaning of the $5,955 million unfunded pension liability and the $432 millionperiodic pension cost.EX 10-19Entries for installment note transactionsObj. 4On the first day of the fiscal year, Shiller Company borrowed $85,000 by givino aseven-year, 7% installment note to Soros Bank. The note requires annual payments of $15,772, withthe first payment occurring on the last day of the fiscal year. The first payment consists of interestof $5,950 and principal repayment of $9,822.Journalize the entries to record the following:1. Issued the installment note for cash on the first day of the fiscal year.2. Paid the first annual payment on the note.SHOW ME HOWa.b.Explain how the notes payable would be reported on the balance sheet at the end ofthe first year.EX 10-20 Entries for installment note transactionsObj. 4On January 1, 20Y2, Hebron Company issued a $175,000, five-year, 8% installment note to VentsamBank. The note requires annual payments of $43,830, beginning on December 31, 20Y2. Journalizethe entries to record the following:HOW ME HOW20Y2Jan.1. Issued the note for cash at its face amount.Dec. 31. Paid the annual payment on the note, which consisted of interest of $14,000 and principal of $29,830.20Y5Dec. 31. Paid the annual payment on the note, included $6,253 of interest. The remainder of the payment reducedthe principal balance on the note.

Intallement note means a kind of loan taken , which will be repaid after certain period of time as…

EX 10-19 Entries for installment note transactions On the first day of the fiscal year, Shiller Company borrowed $85,000 by giving a seven-year, 7% installment note to Soros Bank. The note requires annual payments of $15,772, with the first payment occurring on the last day of the fiscal year. The first payment consists of interest of $5,950 and principal repayment of $9,822. a. Journalize the entries to record the following: 1. Issued the installment note for cash on the first day of the fiscal year. 2. Paid the first annual payment on the note. Obj. 4 b. Explain how the notes payable would be reported on the balance sheet at the end of the first year.

EX 10-19 Entries for installment note transactions On the first day of the fiscal year, Shiller Company borrowed $85,000 by giving a seven-year, 7% installment note to Soros Bank. The note requires annual payments of $15,772, with the first payment occurring on the last day of the fiscal year. The first payment consists of interest of $5,950 and principal repayment of $9,822. a. Journalize the entries to record the following: 1. Issued the installment note for cash on the first day of the fiscal year. 2. Paid the first annual payment on the note. Obj. 4 b. Explain how the notes payable would be reported on the balance sheet at the end of the first year.

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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