Question 6 (amortize notes receivable) On December 31, 2019, Regent plc rendered services to Begin Group at an agreed price of $ 102,049, accepting $ 40,000 as down payment and agreeing to accept the balance in four equal installments of $20,000 notes receivable each December 31. Assumed interest rate of 11% is imputed. Instructions Prepare the entries that would be recorded by Regent plc for the sale and for the receipts and interest on the following dates. (Assume that the effective-interest method is used for amortization purposes.) a. December 31, 2019. b. December 31, 2020. C. December 31, 2021. d. December 31, 2022. e. December 31 , 2023.
Question 6 (amortize notes receivable) On December 31, 2019, Regent plc rendered services to Begin Group at an agreed price of $ 102,049, accepting $ 40,000 as down payment and agreeing to accept the balance in four equal installments of $20,000 notes receivable each December 31. Assumed interest rate of 11% is imputed. Instructions Prepare the entries that would be recorded by Regent plc for the sale and for the receipts and interest on the following dates. (Assume that the effective-interest method is used for amortization purposes.) a. December 31, 2019. b. December 31, 2020. C. December 31, 2021. d. December 31, 2022. e. December 31 , 2023.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Q6
Transcribed Image Text:Question 6 (amortize notes receivable)
On December 31, 2019, Regent plc rendered services to Begin Group at an agreed
price of $ 102,049, accepting $ 40,000 as down payment and agreeing to accept the
balance in four equal installments of $20,000 notes receivable each December 31.
Assumed interest rate of 11% is imputed.
Instructions
Prepare the entries that would be recorded by Regent plc for the sale and for the
receipts and interest on the following dates. (Assume that the effective-interest
method is used for amortization purposes.)
a. December 31, 2019.
b. December 31, 2020.
C. December 31, 2021.
d. December 31, 2022.
e. December 31, 2023.
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