On April 1, 2023, DMH Inc. signed a $111,000, zero-interest-bearing, six-month promissory note. The note's present value is $105,714 based on the bank's discount rate of 10%. The company's year-end is September 30, 2023 and the note is repayable on October 1, 2023. (a). Prepare the journal entry on the books of DMH Inc. to record the issue of the note. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. List debit entry before credit entry. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.) Date Account Titles and Explanation April 1 eTextbook and Media Debit Credit

On April 1, 2023, DMH Inc. signed a $111,000, zero-interest-bearing, six-month promissory note. The note's present value is $105,714 based on the bank's discount rate of 10%. The company's year-end is September 30, 2023 and the note is repayable on October 1, 2023. (a). Prepare the journal entry on the books of DMH Inc. to record the issue of the note. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. List debit entry before credit entry. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.) Date Account Titles and Explanation April 1 eTextbook and Media Debit 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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