For Atco Finance, record (1) the payment of the $216,000 cash and the receipt of the note receivable on October 1, 2023; (2) theaccrual of interest on December 31, 2023; and (3) the collection of the note and interest on July 1, 2024. (Hint: Atco Finance usesa Notes Receivable account to record its loans.) (Credit account titles are automatically indented when the amount is entered. Do notindent manually. Record journal entries in the order presented in the question statement. If no entry is required, select "No Entry" for theaccount titles and enter O for the amounts. List all debit entries before credit entries.)DateAccount TitlesOct. 1, 2023Notes ReceivableCashDec. 31, 2023Interest ReceivableInterest IncomeJuly 1, 2024CashInterest ReceivableNotes ReceivableDebit216,0003,780Credit2 Bramble Construction Ltd. borrowed $216,000 from Atco Finance Ltd. on October 1, 2023, by issuing a 7% nine-month note payable,with principal and interest payable at maturity. Both companies have a December 31 year end and make adjusting entries annually.-Your answer is partially correct.For Bramble Construction, record (1) the receipt of the $216,000 cash and the issue of the note payable on October 1, 2023; (2)the accrual of interest on December 31, 2023; and (3) the payment of the note and interest on July 1, 2024. (Credit account titlesare automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the accounttitles and enter O for the amounts. List all debit entries before credit entries.)DateAccount TitlesOct. 1, 2023CashNotes PayableDec. 31, 2023くInterest ExpenseInterest PayableJuly 1, 2024 ✓Notes PayableInterest PayableCashDebit216,0003,780216,000Credi

A company may borrow money from another company by signing a note. A note can be long-term or…

For Atco Finance, record (1) the payment of the $216,000 cash and the receipt of the note receivable on October 1, 2023; (2) the accrual of interest on December 31, 2023; and (3) the collection of the note and interest on July 1, 2024. (Hint: Atco Finance uses a Notes Receivable account to record its loans.) (Credit account titles are automatically indented when the amount is entered. Do not indent manually. Record journal entries in the order presented in the question statement. If no entry is required, select "No Entry" for the account titles and enter O for the amounts. List all debit entries before credit entries.) Date Account Titles Oct. 1, 2023 く Notes Receivable Cash Dec. 31, 2023 ✓ Interest Receivable Interest Income July 1, 2024 Cash Interest Receivable Notes Receivable Debit 216,000 3,780 Credit

For Atco Finance, record (1) the payment of the $216,000 cash and the receipt of the note receivable on October 1, 2023; (2) the accrual of interest on December 31, 2023; and (3) the collection of the note and interest on July 1, 2024. (Hint: Atco Finance uses a Notes Receivable account to record its loans.) (Credit account titles are automatically indented when the amount is entered. Do not indent manually. Record journal entries in the order presented in the question statement. If no entry is required, select "No Entry" for the account titles and enter O for the amounts. List all debit entries before credit entries.) Date Account Titles Oct. 1, 2023 く Notes Receivable Cash Dec. 31, 2023 ✓ Interest Receivable Interest Income July 1, 2024 Cash Interest Receivable Notes Receivable Debit 216,000 3,780 Credit

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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