On December 31, 2023, Bramble Link Corporation received a four-year, 6%, $764,000 bank loan. The terms provide for payment of the bank loan with semi-annual instalment payments of $108,837 principal and interest, starting on June 30. Bramble has a March 31 year end and records adjusting entries annually.

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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(b)
Your answer is partially correct.
Record the accrual of interest expense on March 31, 2024. (Credit account titles are automatically indented when the amount is
entered. Do not indent manually. If no entry is required, select "No Entry for the account titles and enter O for the amounts. List debit entry
before credit entry)
Date Account Titles
Mar. 31
Interest Expense
Interest Payable
Debit
3390
Credit
3390
Transcribed Image Text:(b) Your answer is partially correct. Record the accrual of interest expense on March 31, 2024. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry for the account titles and enter O for the amounts. List debit entry before credit entry) Date Account Titles Mar. 31 Interest Expense Interest Payable Debit 3390 Credit 3390
On December 31, 2023, Bramble Link Corporation received a four-year, 6%, $764,000 bank loan. The terms provide for payment of
the bank loan with semi-annual instalment payments of $108,837 principal and interest, starting on June 30. Bramble has a March 31
year end and records adjusting entries annually.
(a)
Your answer is correct.
Record the receipt of the bank loan on December 31, 2023, (Credit account titles are automatically indented when the amount is
entered. Do not indent manually. If no entry is required, select "No Entry for the account titles and enter O for the amounts. List debit entry
before credit entry)
Date Account Titles
Dec. 31
Cash
Bank Loan Payable
Debit
764000
Credit
764000
Transcribed Image Text:On December 31, 2023, Bramble Link Corporation received a four-year, 6%, $764,000 bank loan. The terms provide for payment of the bank loan with semi-annual instalment payments of $108,837 principal and interest, starting on June 30. Bramble has a March 31 year end and records adjusting entries annually. (a) Your answer is correct. Record the receipt of the bank loan on December 31, 2023, (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry for the account titles and enter O for the amounts. List debit entry before credit entry) Date Account Titles Dec. 31 Cash Bank Loan Payable Debit 764000 Credit 764000
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