Exercise 9-4 Interest-bearing notes payable with year-end adjustments LO P1Keesha Co. borrows $300,000 cash on December 1 of the current year by signing a 150-day, 11% $300,000 note.1. On what date does this note mature?2. & 3. What is the amount of interest expense in the current year and the following year from this note?4. Prepare journal entries to record (a) issuance of the note, (b) accrual of interest on December 31, and (c) payment of the note atmaturitycesComplete this question by entering your answers in the tabs below,Req 2 and 3What is the amount of interest expense in the current year and the following year from this note? (Use 360 days a yearRound final answers to the nearest whole dollar)Reg 1PrincipalRate (%)TimeTotal interestReq 1View transaction list<Keesha Co. borrows $300,000 cash on December 1 of the current year by signing a 150-day, 11%, $300,000 note.1. On what date does this note mature?2. & 3. What is the amount of interest expense in the current year and the following year from this note?4. Prepare journal entries to record (a) issuance of the note, (b) accrual of interest on December 31, and (c) payment of the note atmaturityComplete this question by entering your answers in the tabs below.TotalthroughmaturityReq 2 and 31Journal entry worksheetPrepare journal entries to record (a) issuance of the note, (b) accrual of interest on December 31, and (c) payment of the note atmaturity. (Use 360 days a year. Do not round intermediate calculations.)Req 12Note: Enter debits before credits.Transaction(a)<Record the issuance of the note on December 1.View transaction list1Req 4Req 2 and 3Req 1Intere+ExpenisCurrent Year3<Transaction(b)Req 4Complete this question by entering your answers in the tabs below.Journal entry worksheet2Keesha Co, borrows $300,000 cash on December 1 of the current year by signing a 150-day, 11%, $300,000 note.1. On what date does this note mature?2. & 3. What is the amount of interest expense in the current year and the following year from this note?4. Prepare journal entries to record (a) issuance of the note, (b) accrual of interest on December 31, and (c) payment of the note atmaturity,Record the interest accrued on the note as of December 31, current year.General JournalJournal entry worksheetNote: Enter debits before creditsDebitReq 4ProvComplete this question by entering your answers in the tabs below.SevedGeneral JournalCredit1 of 2DebitPrevKeesha Co, borrows $300,000 cash on December 1 of the current year by signing a 150-day, 11%, $300,000 note1. On what date does this note mature?2. & 3. What is the amount of interest expense in the current year and the following year from this note?4. Prepare journal entries to record (a) issuance of the note, (b) accrual of interest on December 31, and (c) payment of the note atmaturityDobilPrev6Record payment of the note at maturity, assuming no reversing entries weremade on January 1.Prepare journal entries to record (a) issuance of the note, (b) accrual of interest on December 31, and (c) payment of the note atmaturity. (Use 360 days a year. Do not round intermediate calculations.)1 of 2Credit>CreditNext >EE1 of 2>Next >CheckNext >

The note payable is the liability for the business and has credit balance. The interest which is due…

Exercise 9-4 Interest-bearing notes payable with year-end adjustments LO P1 Keesha Co. borrows $300,000 cash on December 1 of the current year by signing a 150-day, 11% $300,000 note 1. On what date does this note mature? 2. & 3. What is the amount of interest expense in the current year and the following year from this note? 4. Prepare journal entries to record (a) issuance of the note, (b) accrual of interest on December 31, and (c) payment of the note at maturity Complete this question by entering your answers in the tabs below. Reg 1 Req 2 and 31 Req 4 What is the amount of interest expense in the current year and the following year from this note? (Use 360 days a year Round final answers to the nearest whole dollar)

Exercise 9-4 Interest-bearing notes payable with year-end adjustments LO P1 Keesha Co. borrows $300,000 cash on December 1 of the current year by signing a 150-day, 11% $300,000 note 1. On what date does this note mature? 2. & 3. What is the amount of interest expense in the current year and the following year from this note? 4. Prepare journal entries to record (a) issuance of the note, (b) accrual of interest on December 31, and (c) payment of the note at maturity Complete this question by entering your answers in the tabs below. Reg 1 Req 2 and 31 Req 4 What is the amount of interest expense in the current year and the following year from this note? (Use 360 days a year Round final answers to the nearest whole dollar)

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

Journalizing Installment Notes On the first day of the fiscal year, a company issues $35,000, 5%, eight-year installment notes that have annual payments of $5,415, The first note payment consists of $1,750 of interest and $3,665 of principal repayment. a. Journalize the entry to record the issuance of the installment notes. If an anmount box does not require an entry, leave it blank. b. Journalize the first annual note payment. If an amount box does not require an entry, leave it blank.
mework Assignment Exercise 7-12A (Algo) Notes receivable-accrued interest LO 7-5 On May 1, Year 1, Benz's Sandwich Shop loaned $14,000 to Mark Henry for one year at 9 percent interest. Required: a. What is Benz's interest income for Year 1? b. What is Benz's total amount of receivables at December 31, Year 1? c. How will the loan and interest be reported on Benz's Year 1 statement of cash flows? d. What is Benz's interest income for Year 2? e. What is the total amount of cash that Benz's will collect in Year 2 from Mark Henry? f. How will the loan and interest be reported on Benz's Year 2 statement of cash flows? g. What is the total amount of interest that Benz's earned on the loan to Mark Henry? Note: For all requirements, round your answers to the nearest dollar amount. a. Interest income ن و نان فان b. Receivables c. Cash used in investing activities Interest income e. Cash f. g. Interest earned 53° HO Saved
Determine Due Date and Interest on Notes Determine the due date and the amount of interest due at maturity on the following notes. When calculating interest amounts, assume there are 360 days in a year. Round intermediate calculations to 4 decimal places, and round your final answers to the nearest whole dollar. Date of Note Face Amount Interest Rate Term of Note a. January 15 $73,400 11 % 30 days b. April 1 17,375 13 90 days c. June 22 31,500 12 45 days d. August 30 23,265 10 120 days e. October 16 12,530 12 50 days Due Date Interest Due at Maturity a. $fill in the blank 2 b. $fill in the blank 4 c. $fill in the blank 6 d. $fill in the blank 8 e. $fill in the blank 10
Entries for Installment Note Transactions On January 1 of Year 1, Bryson Company obtained a $26,000, four-year, 12% installment note from Campbell Bank. The note requires annual payments of $8,560, beginning on December 31 of Year 1. a. Prepare an amortization table for this installment note, similar to the one presented in Exhibit 4. Round the computation of the interest expense to the nearest whole dollar. Enter all amounts as positive numbers.b. Journalize the entries for the issuance of the note and the four annual note payments. If an amount box does not require an entry, leave it blank.c. How will the annual note payment be reported in the Year 1 income statement?
Proceeds from Notes Payable On January 26, Nyree Co. borrowed cash from Conrad Bank by issuing a 45-day note with a face amount of $225,000. Assume a 360-day year. a. Determine the proceeds of the note, assuming the note carries an interest rate of 8%.$fill in the blank 1 b. Determine the proceeds of the note, assuming the note is discounted at 8%.
Chapter 08 Homework (Application) Show Me How eBook Calculator Entries for Notes Receivable 1. EX.08.01 Valley Designs issued a 90-day, 9% note for $60,000, dated April 17, to Bork Furniture Company on account. Assume 360 days in a year when 2. EX.08.02 ALGO computing the interest. 3. EX.08.03 ALGO a. Determine the due date of the note. July 16 v 4. EX.08.04 ALGO b. Determine the maturity value of the note. 5. EX.08.06 ALGO 6. EX 08.07 Feedhack 7. EX.08.20 ALGO YChec My Work The due date is the date the note is to be paid. 8. PR.08.02A BLANKSHEET Remember the interest rate is stated on an annual basis, while the term is expressed as days. Assume a 360 day year. The maturity value is the amount that must be paid at the due date of the note. c1. Journalize the entry to record the receipt of the note by Bork Furniture. If an amount box does not require an entry, leave it blank. Notes Receivable v Accounts Receivable-Valley Designs v Feedback
Check my work Exercise 9-4 (Algo) Accounting for note payable LO P1 Sylvestor Systems borrows $104,000 cash on May 15 by slgning a 30-day, 5%, $104,000 note. 1. On what date does this note mature? 2-a. Prepare the entry to record Issuance of the note. 2-b. First, complete the table below to calculate the Interest expense at maturity. Use those calculated values to prepare your entry to record payment of the note at maturity. Complete this question by entering your answers In the tabs below. Required 2B Interest at Maturity Required 2B General Journal Required 1 Required 2A On what date does this note mature? On what date does this note mature? K Required Required 2A Fook Air
Determine Due Date and Interest on Notes Determine the due date and the amount of interest due at maturity on the following notes. When calculating interest amounts, assume there are 360 days in a year. Round intermediate calculations to 4 decimal places, and round your final answers to the nearest whole dollar. Date of Note a. January 15 April 1 b. C. d. e. a. b. C. d. e. June 22 August 30 October 16 Due Date Feb. 14 Jun. 38 Aug. 6 Dec. 28 Dec. 5 Face Amount $44,175 $ 12,350 19,800 20,535 10,935 Interest Due at Maturity Interest Rate 9% 9 13 13 8 Term of Note 30 days 90 days 45 days 120 days 50 days
Accrued Interest PayableCompute the interest accrued on each of the following notes payable owed by Northland, Inc., on December 31:Use 360 days for calculations and round to the nearest dollar. Lender Date of Note Principal Interest Rate (%) Term Maple 11/21 $18,000 11 120 days Wyman 12/13 14,000 8 90 days Nahn 12/10 16,000 12 60 days Lender Accrued Interest Maple Answer Wyman Answer Nahn Answer
Entries for Installment Note Transactions On January 1, Year 1, Bryson Company obtained a $55,000, four-year, 11% installment note from Campbell Bank. The note requires annual payments of $17,728, beginning on December 31, Year 1. Question Content Area a. Prepare an amortization table for this installment note, similar to the one presented in Exhibit 4. Note: Enter all amounts to the nearest whole dollar. Round Year 4 Interest Expense (up or down) to ensure the carrying amount is zero at the end of the note term. Amortization of Installment Notes Year EndingDecember 31 January 1Carrying Amount Note Payment(Cash Paid) Interest Expense(7% of January 1Note CarryingAmount) Decrease inNotes Payable December 31Carrying Amount Year 1 $fill in the blank b149b9fd0071019_1 $fill in the blank b149b9fd0071019_2 $fill in the blank b149b9fd0071019_3 $fill in the blank b149b9fd0071019_4 $fill in the blank b149b9fd0071019_5 Year 2 fill in the blank b149b9fd0071019_6…
Question Content Area On June 8, Williams Company issued an $72,668, 11%, 120-day note payable to Brown Industries. Assuming a 360-day year, what is the maturity value of the note? When required, round your answer to the nearest dollar. a. $7,993 b. $80,661 c. $72,668 d. $75,332
QUESTION 11 On August 1, 2024, a company lends cash and accepts a $15,000 note receivable that offers 14% interest and is due in nine months. How would the company record the year-end adjusting entry to accrue interest in 2024? (Do not round intermediate calculations. Round your answer to the nearest dollar amount.) O Interest Revenue esc O Interest Receivable. ption Interest Receivable. O Interest Receivable PI Interest Revenue Interest Receivable Interest Revenue. O Interest Revenue 1 A Interest Revenue. Click Save and Submit to save and submit. Click Save All Answers to save all answers. N Interest Receivable p #1 2 W S P 12 command X # 3 E D 8.0 C $ 4 a FA R F 07 20 5 V 2,100 4 FS 875 T 945 875 945 G 0) > A 6 B & F6 875 2,100 Y 945 875 MacBook Air 945 H & 7 8 F7 U N * 8 J DII FB I M ( 9 K DO F9 O < . O L 4 Save All Answers F10 P command I' V 4 I FIL opt