On December 31, 2025, Blue Inc. rendered services to Beghun Corporation at an agreed price of $106,641, accepting $41,800 down and agreeing to accept the balance in four equal installments of $20,900 receivable each December 31. An assumed interest rate of 11% is imputed. (a1) Prepare an amortization schedule. Assume that the effective-interest method is used for amortization purposes. (Round answers to O decimal places, e.g. 5,275.)

On December 31, 2025, Blue Inc. rendered services to Beghun Corporation at an agreed price of $106,641, accepting $41,800 down and agreeing to accept the balance in four equal installments of $20,900 receivable each December 31. An assumed interest rate of 11% is imputed. (a1) Prepare an amortization schedule. Assume that the effective-interest method is used for amortization purposes. (Round answers to O decimal places, e.g. 5,275.)

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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Question

On December 31, 2025, Blue Inc. rendered services to Beghun Corporation at an agreed price of $106,641, accepting $41,800 down
and agreeing to accept the balance in four equal installments of $20,900 receivable each December 31. An assumed interest rate
of 11% is imputed.
(a1)
Prepare an amortization schedule. Assume that the effective-interest method is used for amortization purposes. (Round answers
to O decimal places, e.g. 5,275.)

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