On January 1, 2021, Eagle Company borrows $30,000 cash by signing a four year, 7% installment note. The note requires four equal payments of $8,857 consisting of accrued interest and principal on December 31 of each year from 2021 through 2024. Prepare the journal entries for Eagle to record the noto's issuan and ch of the four
On January 1, 2021, Eagle Company borrows $30,000 cash by signing a four year, 7% installment note. The note requires four equal payments of $8,857 consisting of accrued interest and principal on December 31 of each year from 2021 through 2024. Prepare the journal entries for Eagle to record the noto's issuan and ch of the four
Chapter13: Long-term Liabilities
Section: Chapter Questions
Problem 1PA: On January 1, 2018, King Inc. borrowed $150,000 and signed a 5-year, note payable with a 10%...
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![On January 1, 2021, Eagle Company
borrows $30,000 cash by signing a four-
year, 7% installment note. The note
requires four equal payments of $8,857,
consisting of accrued interest and
principal on December 31 of each year
from 2021 through 2024. Prepare the
journal entries for Eagle to record the
note's issuance and each of the four
payments. Note: Round your
intermediate calculations and final
answers to the nearest dollar amount.](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F91605255-8a3f-4f90-b4a0-4e9393375805%2F195370e6-d9d0-4ccc-a6c1-16a5b7e2e7dc%2Fd7gttvi_processed.jpeg&w=3840&q=75)
Transcribed Image Text:On January 1, 2021, Eagle Company
borrows $30,000 cash by signing a four-
year, 7% installment note. The note
requires four equal payments of $8,857,
consisting of accrued interest and
principal on December 31 of each year
from 2021 through 2024. Prepare the
journal entries for Eagle to record the
note's issuance and each of the four
payments. Note: Round your
intermediate calculations and final
answers to the nearest dollar amount.
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