On the first day of the fiscal year, Shiller Company borrowed $33,000 by giving a seven-year, 8% installment note to Soros Bank. The note requires annual payments of $6,404, with the first payment occurring on the last day of the fiscal year. The first payment consists of interest of $2,640 and principal repayment of $3,764. Journalize the entries to record the following: a1. Issued the installment note for cash on the first day of the fiscal year. If an amount box does
On the first day of the fiscal year, Shiller Company borrowed $33,000 by giving a seven-year, 8% installment note to Soros Bank. The note requires annual payments of $6,404, with the first payment occurring on the last day of the fiscal year. The first payment consists of interest of $2,640 and principal repayment of $3,764.
a1. Issued the installment note for cash on the first day of the fiscal year. If an amount box does not require an entry, leave it blank.
| Cash | fill in the blank 9d174cf85026fb7_2 | fill in the blank 9d174cf85026fb7_3 | |
| Notes Payable | fill in the blank 9d174cf85026fb7_5 | fill in the blank 9d174cf85026fb7_6 |
a2. Paid the first annual payment on the note. If an amount box does not require an entry, leave it blank.
| Interest Expense | fill in the blank 6e673f01702302e_2 | fill in the blank 6e673f01702302e_3 | |
| Notes Payable | fill in the blank 6e673f01702302e_5 | fill in the blank 6e673f01702302e_6 | |
| Cash | fill in the blank 6e673f01702302e_8 | fill in the blank 6e673f01702302e_9 |
b. How would the notes payable be reported on the balance sheet at the end of the fiscal year?
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