Milano Gallery purchases the copyright on a painting for $210,000 on January 1. The copyright is good for 10 more years. Thecompany plans to sell prints for 19 years.Prepare entries to record the purchase of the copyright on January 1 and its annual amortization on December 31.View transaction listJournal entry worksheet1>Record the purchase of the copyright on a painting for $210,000 cash.Note: Enter debits before credits.DateGeneral JournalDebitCreditJan 01

Journal entry: A journal entry is used to record day-to-day transactions of…

Answered: Record the purchase of the copyright on…

Business

Accounting

Record the purchase of the copyright on a painting for $210,000 cash.

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

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%...

See similar textbooks

Similar questions

Milano Gallery purchases the copyright on a painting for $510,000 on January 1. The copyright is good for 12 more years. The company plans to sell prints for 19 years. Prepare entries to record the purchase of the copyright on January 1 and its annual amortization on December 31. View transaction list Journal entry worksheet 1 2 Record the purchase of the copyright on a painting for $510,000 cash. Date Jan 01 Note: Enter debits before credits. Record entry General Journal Clear entry Debit Credit View general journal >
Milano Gallery purchases the copyright on a painting for $418,000 on January 1. The copyright is good for 10 more years; after which the copyright will expire and anyone can make prints. The company plans to sell prints for 11 years. Prepare entries to record the purchase of the copyright on January 1 and its annual amortization on December 31.
Prepare all journal entries and adjusting journal entries necessary to record all of Red Robin's transactions related to the note payable information below: Red Robin purchased the building on January 1, 2019, for $496,300 using a note payable. The loan is a 30-year, 5% installment loan with annual payments due every December 31. See amortization table below: Building Loan Amortization Principal Interest Years Payments/year Payment Date 31-Dec-19 31-Dec-20 31-Dec-21 31-Dec-22 31-Dec-23 31-Dec-24 31-Dec-25 31-Dec-26 31-Dec-27 31-Dec-28 31-Dec-29 31-Dec-30 31-Dec-31 31-Dec-32 31-Dec-33 31-Dec-34 31-Dec-35 31-Dec-36 31-Dec-37 31-Dec-38 31-Dec-39 31-Dec-40 31-Dec-41 31-Dec-42 31-Dec-43 31-Dec-44 31-Dec-45 31-Dec-46 31-Dec-47 31-Dec-48 $496,300 5.00% 30 1 32,285 Interest Principal Payment Balance 496,300 488,830 480,986 7,470 32,285 7,844 32,285 24,815 24,441 24,049 32,285 23,638 32,285 23,205 32,285 22,751 32,285 22,274 10,011 32,285 21,774 10,511 32,285 21,248 11,037 32,285 8,236 8,647…
On February 1, 2018, Innovation Company purchased a patent for $72,000 cash. Although the patent gives legal protection for 20 years, the patent is expected to be used for only three years. Read the requirements. Requirement 1. Journalize the purchase of the patent. (Record debits first, then credits. Select the explanation on the last line of the journal entry table.) Date Accounts and Explanation Debit Credit Feb. 1 Requirements 1. Journalize the purchase of the patent. 2. Journalize the amortization expense for the year ended December 31, 2018. Assume straight-line amortization. Print Done
Prepare all journal entries and adjusting journal entries necessary to record all of Red Robin's transactions related to the note payable information below: Red Robin borrowed money to purchase a vehicle this year for $47,210. The vehicle loan is an installment loan with a 6-year life and 8% interest due quarterly. The vehicle was purchased on April 1, so the first loan payment is due June 30. See amortization table below: Vehicle Loan Amortization Principal Interest Years Payments/year Payment Date 6/30/22 9/30/22 12/31/22 3/31/23 6/30/23 9/30/23 12/31/23 3/31/24 6/30/24 9/30/24 12/31/24 3/31/25 6/30/25 9/30/25 12/31/25 3/31/26 6/30/26 9/30/26 12/31/26 3/31/27 $47,210 8.00% 6 4 2,496 Interest Principal Payment Balance 47,210 45,658 44,075 42,461 944 1,552 913 1,583 882 1,615 849 816 2,496 2,496 2,496 1,647 2,496 1,680 2,496 783 1,713 2,496 748 1,748 2,496 1,783 2,496 1,818 2,496 2,496 713 678 641 1,855 604 1,892 2,496 567 1,930 2,496 323 280 1,968 2,496 2,007 2,496 2,496 2,496 2,496…
Censider the following note payable transactions of Cargo Video Productions. D(Click the icon to view the transactions.) Requirements 1. Journalize the transactions for the company. Considering the given transactions only, what are Cargo Video Productions' total liabilities on December 31, 2019? 2. X Select explanations on the last line More Info he note requires annual principal pa Credit 2018 Oct. 1 Purchased equipment costing $40,000 by issuing a five-year, 9% note payable. The note requires annual principal payments of $8,000 plus interest each October 1. Dec. 31 Accrued interest on the note payable. 2019 Oct. 1 Paid the first installment on the note. Dec. 31 Accrued interest on the note payable. Print Done 4
Please look at the picture - thank you
Access an online loan calculator with annual payments, such as the one at mycalculators.com, to produce an amortization schedule for Welton Corporation's installment note that has original principal of $36,000, interest of 5% compounded annually, and a term of 3 years. Welton Corporation established the note on the first day of its fiscal year and will fully repay the note by the end of year 3 on its December 31 fiscal year-end. Prepare Welton Corporation's journal entries on (a) January 1, Year 1; (b) December 31, Year 1; (C) December 31, Year 2; and (d) December 31, Year 3. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field. Do not round intermediate calculations. Round your final answers to the nearest dollar amount.) View transaction list Journal entry worksheet 2 3 4 > Record the issuance of the note on January 1, Year 1. Note: Enter debits before credits. Transaction General Journal Debit Credit (a) Record entry Clear…
Access an online loan calculator with annual payments, such as the one at mycalculators.com, to produce an amortization schedule for Welton Corporation's installment note that has original principal of $62,000, interest of 12% compounded annually, and a term of 3 years. Welton Corporation established the note on the first day of its fiscal year and will fully repay the note by the end of year 3 on its December 31 fiscal year-end. Prepare Welton Corporation's journal entries on (a) January 1, Year 1: (b) December 31, Year 1: (c) December 31, Year 2; and (d) December 31, Year 3. (If no entry is required for a transaction/event, select "No Journal Entry he nearest dollar Required" in the first account field. Do not round intermediate calculations. Round your final answer amount.) No 1 2 3 4 Transaction (a) (b) (c) (d) Cash Notes Payable (long-term) General Journal No Journal Entry Required Interest Expense Notes Payable (long-term) Cash Interest Expense Cash Answer is not complete. 33 Ⓡ O…
prepare a three-year (monthly) amortization schedule to classify the notes payable into its current and long-term amounts. See October 1, 2020 transaction for details of loan. October 1 - Bought office equipment for $15,000 and signed a three-year promissory note with a local bank. The annual interest rate is 5%, with monthly payments of $449.56 beginning on November 1.
Pharoah Company purchases a patent for $146,000 cash on January 2, 2024. Its legal life is 20 years and its estimated useful life is 8 years. (a) Record the purchase of the patent on January 2, 2024. (Credit account titles are automatically indented when the 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. List debit entry before credit entry.) Date Account Titles Jan. 2 Debit Credit List of Accounts
Bramble Company purchased a building on January 2 by signing a long-term $606000 mortgage with monthly payments of $5100. The mortgage carries an interest rate of 10 percent. The entry to record the first monthly payment will include a credit to the Mortgage Payable account for $5100. O credit to the Cash account for $5050. O debit to the Interest Expense account for $5050. O debit to the Cash account for $5100.