Pearl plc purchased a truck by issuing an £76,800, 4-year, zero-interest-bearing note to Equinox Inc. The market rate of interest for obligations of this nature is 6%. Prepare the journal entry to record the purchase of this truck. (Round present value factor calculations to 5 decimal places, e.g. 1.25124 and final answers to 0 decimal places, e.g. 5,275. Credit account titles are automatically indented when 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.) Account Titles and Explanation Debit Credit

Pearl plc purchased a truck by issuing an £76,800, 4-year, zero-interest-bearing note to Equinox Inc. The market rate of interest for obligations of this nature is 6%. Prepare the journal entry to record the purchase of this truck. (Round present value factor calculations to 5 decimal places, e.g. 1.25124 and final answers to 0 decimal places, e.g. 5,275. Credit account titles are automatically indented when 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.) Account Titles and Explanation Debit Credit

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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Vaughn Cosmetics Co. purchased machinery on December 31, 2024, paying $54,400.00 down and agreeing to pay the balance in four equal installments of $53,600.00 payable each December 31. An assumed interest of 10% is implicit in the purchase price. Click here to view factor tables. Prepare the journal entries that would be recorded for the purchase and for (1) the payments and (2) interest on the following dates. (Round present value factor to 5 decimal places, e.g. 1.23465 and final answers to 2 decimal places, e.g. 38,548.23. 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 credit entries.) (a) (b) (c) (d) (e) December 31, 2024. December 31, 2025. December 31, 2026. December 31, 2027. December 31, 2028.
Subject : Accounting
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Required information [The following information applies to the questions displayed below.] Tyrell Co. entered into the following transactions involving short-term liabilities. Year 1 Apr. 20 Purchased $36,000 of merchandise on credit from Locust, terms n/30. May 19 Replaced the April 20 account payable to Locust with a 90-day, 8%, $35,000 note payable along with paying $1,000 in cash. July 8 Borrowed $57,000 cash from NBR Bank by signing a 120-day, 11%, $57,000 note payable. note to Locust at the maturity date. Paid the amount due on the Paid the amount due on the note to NBR Bank at the maturity date. Nov. 28 Borrowed $33,000 cash fro Fargo Bank by signing a 60-day, 7%, $33,000 note payable. Dec. 31 Recorded an adjusting entry for accrued interest on the note to Fargo Bank. Year 2 _____?_ Paid the amount due on the note to Fargo Bank at the maturity date. Required: 1. Determine the maturity date for each of the three notes described. Maturity date Locust NBR Bank Fargo Bank