On August 31, 20X6, Kathy Thompson borrowed 53.000 from Danein Interstate Bank. Thompson signed a note payable, promising to pay the bank principal plus interest on August 31, 20X7 The interest rate on the note is 6%. The accounting year of Darwin Interstate Bank ends on June 30, 20X7. Journalize Darwin Interstate Bank's (a) lending monay on the note receivable at August 31. 20xS, (b) acorual of interest at June 30 20X7, and (c) colection of principal and interest at August 31, 20X7, the maturity date of the note Joumalize Danvin Interstate Banks (a) lending money on the note recelvable at August 31, 20x6, () accrual of interant at Juna 30, 20X7, and (e) collection of principal and interest al August 31, 2007. ha matahy date of the note. (Record debits first then credits Excude explanations from any joumal entries) (4) Prepare the journal entry for the isuance of the note recelvable on August 31, 20X6. Journal Entry Date Accounts Debit Credit 20X6 Aug 31 (b) Prepare the journal entry to record the accrual of intarest at June 30, 20X7. te Accounts Debit Credit 20X7 Jun 30 Prepare the journal entry to record the collection of the note principal and interest at August 31, 20X7, the maturity date of the note. Journal Entry ate Accounts Debit Credit 20X7 Aug 31 oose from any list or enter any number in the input fields and then continue to the next question.
On August 31, 20X6, Kathy Thompson borrowed 53.000 from Danein Interstate Bank. Thompson signed a note payable, promising to pay the bank principal plus interest on August 31, 20X7 The interest rate on the note is 6%. The accounting year of Darwin Interstate Bank ends on June 30, 20X7. Journalize Darwin Interstate Bank's (a) lending monay on the note receivable at August 31. 20xS, (b) acorual of interest at June 30 20X7, and (c) colection of principal and interest at August 31, 20X7, the maturity date of the note Joumalize Danvin Interstate Banks (a) lending money on the note recelvable at August 31, 20x6, () accrual of interant at Juna 30, 20X7, and (e) collection of principal and interest al August 31, 2007. ha matahy date of the note. (Record debits first then credits Excude explanations from any joumal entries) (4) Prepare the journal entry for the isuance of the note recelvable on August 31, 20X6. Journal Entry Date Accounts Debit Credit 20X6 Aug 31 (b) Prepare the journal entry to record the accrual of intarest at June 30, 20X7. te Accounts Debit Credit 20X7 Jun 30 Prepare the journal entry to record the collection of the note principal and interest at August 31, 20X7, the maturity date of the note. Journal Entry ate Accounts Debit Credit 20X7 Aug 31 oose from any list or enter any number in the input fields and then continue to the next question.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:On August 31, 20X6, Kathy Thompson borrowed 53,000 from Darwin Interstate Bank. Thompson signed a note payable, promising to pay the bank principal plus interest on August 31, 20X7 The Interest rate on the
note is 6%. The accounting year of Darwin Interstate Bank ends on June 30, 20X7 Journalize Darwin Interstate Bank's (a) lending monay on the nate receivable at August 31. 20x6 (0) accnual of interest at June 30
20X7, and (c) collection of principal and interest at August 31, 20X7, the maturity date of the note.
Joumalize Danwin Interstate Bank's (a) lending money on the note recelvable at August 31, 20X6, (b) accrual of interest at Juna 30, 20X7, and (e) collection of principal and interest at August 31, 2007. the matnhy
date of the note (Record debits first, then credits Exidude explanations from any journal entries)
(a) Prepare the journal entry for the issuance of the note recelvable on August 31, 20X6
Journal Entry
Date
Accounts
Debit
Credit
20X6
5ny
31
(b) Prepare the journal entry to record the accrual of intarest at June 30, 20X7.
ate
Accounts
Debit
Credit
20X7
Jun
30
Prepare the joumal entry to record the collection of the note principal and interest at August 31, 20X7, the maturity date of the note.
Journal Entry
Date
Accounts
Debit
Credit
20X7
Aug
31
hoose from any list or enter any number in the input fields and then continue to the next question.
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