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On December 31, 2025. Sheffield Co. performed environmental consulting services for Hayduke Co. Hayduke was short of cash, and Sheffield Co. agreed to accept a $338,600 zero-interest-bearing note due December 31, 2027, as payment in full. Hayduke is somewhat of a credit risk and typically borrows funds at a rate of 11%. Sheffield is much more creditworthy and has various lines of credit at 6%. Prepare the journal entry to record the transaction of December 31, 2025, for the Sheffield Co. (Round present value factor calculations to 5 decimal places, eg. 1.25124 and final answers to O decimal places, eg. 5,275. If no entry is required, select "No Entry" for the account titles and enter O for the amounts, Credit account titles are automatically indented when the amount is entered. Do not indent manually. List all debit entries before cladit entries) Account Titles and Explanation Date Dec. 31, 2025 Debit Credit

On December 31, 2025. Sheffield Co. performed environmental consulting services for Hayduke Co. Hayduke was short of cash, and Sheffield Co. agreed to accept a $338,600 zero-interest-bearing note due December 31, 2027, as payment in full. Hayduke is somewhat of a credit risk and typically borrows funds at a rate of 11%. Sheffield is much more creditworthy and has various lines of credit at 6%. Prepare the journal entry to record the transaction of December 31, 2025, for the Sheffield Co. (Round present value factor calculations to 5 decimal places, eg. 1.25124 and final answers to O decimal places, eg. 5,275. If no entry is required, select "No Entry" for the account titles and enter O for the amounts, Credit account titles are automatically indented when the amount is entered. Do not indent manually. List all debit entries before cladit entries) Account Titles and Explanation Date Dec. 31, 2025 Debit Credit

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, 2025, Sheffield Co. performed environmental consulting services for Hayduke Co. Hayduke was short of cash, and Sheffield Co. agreed to accept a $338,600 zero-interest-bearing note due December 31, 2027, as payment in full. Hayduke is somewhat of a credit risk and typically borrows funds at a rate of 11%. Sheffield is much more creditworthy and has various lines of credit at 6%. (a) Prepare the journal entry to record the transaction of December 31, 2025, for the Sheffield Co. (Round present value factor calculations to 5 decimal places, eg. 1.25124 and final answers to O decimal places, e.g. 5,275. If no entry is required, select "No Entry" for the account titles and enter O for the amounts. Credit account titles are automatically indented when the amount is entered. Do not indent manually. List all debit entries before cladit entries) Account Titles and Explanation Date Dec. 31, 2025 Debit Credit
Transcribed Image Text:On December 31, 2025, Sheffield Co. performed environmental consulting services for Hayduke Co. Hayduke was short of cash, and Sheffield Co. agreed to accept a $338,600 zero-interest-bearing note due December 31, 2027, as payment in full. Hayduke is somewhat of a credit risk and typically borrows funds at a rate of 11%. Sheffield is much more creditworthy and has various lines of credit at 6%. (a) Prepare the journal entry to record the transaction of December 31, 2025, for the Sheffield Co. (Round present value factor calculations to 5 decimal places, eg. 1.25124 and final answers to O decimal places, e.g. 5,275. If no entry is required, select "No Entry" for the account titles and enter O for the amounts. Credit account titles are automatically indented when the amount is entered. Do not indent manually. List all debit entries before cladit entries) Account Titles and Explanation Date Dec. 31, 2025 Debit Credit
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