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On December 31, 2023, Marigold Link Corporation received a four-year, 6%, $536,000 bank loan. The terms provide for payment of the bank loan with semi - annual instalment payments of $76, 357 principal and interest, starting on June 30. Marigold has a March 31 year end and records adjusting entries annually. Record the accrual of interest on march 31, 2024. What i did was

On December 31, 2023, Marigold Link Corporation received a four-year, 6%, $536,000 bank loan. The terms provide for payment of the bank loan with semi - annual instalment payments of $76, 357 principal and interest, starting on June 30. Marigold has a March 31 year end and records adjusting entries annually. Record the accrual of interest on march 31, 2024. What i did was

FINANCIAL ACCOUNTING
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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On December 31, 2023, Marigold Link Corporation received a four-year, 6%, $536,000 bank loan. The terms provide for payment of the bank loan with semi - annual instalment payments of $76, 357 principal and interest, starting on June 30. Marigold has a March 31 year end and records adjusting entries annually. Record the accrual of interest on march 31, 2024. What i did was wrong (b) Your answer is partially correct. Date Account Titles 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.) Mar. 31 Interest Expense G Interest Payable C Debit 4,020 Credit 4,020
Transcribed Image Text:On December 31, 2023, Marigold Link Corporation received a four-year, 6%, $536,000 bank loan. The terms provide for payment of the bank loan with semi - annual instalment payments of $76, 357 principal and interest, starting on June 30. Marigold has a March 31 year end and records adjusting entries annually. Record the accrual of interest on march 31, 2024. What i did was wrong (b) Your answer is partially correct. Date Account Titles 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.) Mar. 31 Interest Expense G Interest Payable C Debit 4,020 Credit 4,020
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