Note Computations and Entries (Straight Line) On January 1, 2024, Benton Corporation borrowed $1,020,000 with a 10-year, 8.75% note, interest payable semiannually on June 30 an December 31. Cash in the amount of $1,005,500 was received when the note was issued. Required: 4 1. Prepare the necessary journal entry at January 1, 2024. If an amount box does not require an entry, leave it blank. 2024 Jan. 1 Record issuance of notes at discount 2. Prepare the necessary journal entry at June 30, 2024. If an amount box does not require an entry, leave it blank. If required, roun amounts to the nearest dollar.

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Note Computations and Entries (Straight Line)
On January 1, 2024, Benton Corporation borrowed $1,020,000 with a 10-year, 8.75% note, interest payable semiannually on June 30 and
December 31. Cash in the amount of $1,005,500 was received when the note was issued.
Required:
4
1. Prepare the necessary journal entry at January 1, 2024. If an amount box does not require an entry, leave it blank.
2024 Jan. 1
Record issuance of notes at discount
2. Prepare the necessary journal entry at June 30, 2024. If an amount box does not require an entry, leave it blank. If required, round
amounts to the nearest dollar.
2024 June 30
Record interest expense
Transcribed Image Text:Note Computations and Entries (Straight Line) On January 1, 2024, Benton Corporation borrowed $1,020,000 with a 10-year, 8.75% note, interest payable semiannually on June 30 and December 31. Cash in the amount of $1,005,500 was received when the note was issued. Required: 4 1. Prepare the necessary journal entry at January 1, 2024. If an amount box does not require an entry, leave it blank. 2024 Jan. 1 Record issuance of notes at discount 2. Prepare the necessary journal entry at June 30, 2024. If an amount box does not require an entry, leave it blank. If required, round amounts to the nearest dollar. 2024 June 30 Record interest expense
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