Prepare Natura Company's journal entries to record the following transactions involving its short-term investments in held-to-maturity debt securities, all of which occurred during the current year. a. On June 15, paid $282,000 cash to purchase Remed's 90-day short-term debt securities ($282,000 principal), dated June 15, that pay 8% interest. b. On September 16, received a check from Remed in payment of the principal and 90 days' interest on the debt securities purchased in transaction a. Note: Use 360 days in a year. Do not round your intermediate calculations.
Prepare Natura Company's journal entries to record the following transactions involving its short-term investments in held-to-maturity debt securities, all of which occurred during the current year. a. On June 15, paid $282,000 cash to purchase Remed's 90-day short-term debt securities ($282,000 principal), dated June 15, that pay 8% interest. b. On September 16, received a check from Remed in payment of the principal and 90 days' interest on the debt securities purchased in transaction a. Note: Use 360 days in a year. Do not round your intermediate calculations.
Financial Accounting
15th Edition
ISBN:9781337272124
Author:Carl Warren, James M. Reeve, Jonathan Duchac
Publisher:Carl Warren, James M. Reeve, Jonathan Duchac
Chapter15: Investments And Fair Value Accounting
Section: Chapter Questions
Problem 1PB: Rekya Mart Inc. is a general merchandise retail company that began operations on January 1, Year 1....
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1
![Prepare Natura Company's journal entries to record the following transactions involving its short-term investments in held-to-maturity
debt securities, all of which occurred during the current year.
a. On June 15, paid $282,000 cash to purchase Remed's 90-day short-term debt securities ($282,000 principal), dated June 15,
that pay 8% interest.
b. On September 16, received a check from Remed in payment of the principal and 90 days' interest on the debt securities
purchased in transaction a.
Note: Use 360 days in a year. Do not round your intermediate calculations.
View transaction list
Journal entry worksheet
<
1
On June 15, paid $282,000 cash to purchase Remed's 90-day short-term debt
securities ($282,000 principal), dated June 15, that pay 8% interest.
2
Note: Enter debits before credits.
Transaction
a.
Record entry
General Journal
Clear entry
Debit
Credit
View general journal](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fb438be35-ec57-4431-aa8f-b6d299421846%2F65b1d36f-498c-4690-9fcd-1b2876060590%2Fi39xc0o_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Prepare Natura Company's journal entries to record the following transactions involving its short-term investments in held-to-maturity
debt securities, all of which occurred during the current year.
a. On June 15, paid $282,000 cash to purchase Remed's 90-day short-term debt securities ($282,000 principal), dated June 15,
that pay 8% interest.
b. On September 16, received a check from Remed in payment of the principal and 90 days' interest on the debt securities
purchased in transaction a.
Note: Use 360 days in a year. Do not round your intermediate calculations.
View transaction list
Journal entry worksheet
<
1
On June 15, paid $282,000 cash to purchase Remed's 90-day short-term debt
securities ($282,000 principal), dated June 15, that pay 8% interest.
2
Note: Enter debits before credits.
Transaction
a.
Record entry
General Journal
Clear entry
Debit
Credit
View general journal
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