Selkirk Company obtained a $15,000 note receivable from a customer on January 1, 2024. The note, along with interest at 10%, is due on July 1, 2024. On February 28, 2024, Selkirk discounted the note at Unionville Bank. The bank's discount rate is 12%. Required: Prepare the journal entries required on February 28, 2024, to accrue interest and to record the discounting for Selkirk. Assume that the discounting is accounted for as a sale. Note: 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 answers to the nearest dollar amount. View transaction list Journal entry worksheet 1 2 Record the discounting of note receivable. Note: Enter debits before credits. Date February 28, 2024 General Journal Debit Credit
Selkirk Company obtained a $15,000 note receivable from a customer on January 1, 2024. The note, along with interest at 10%, is due on July 1, 2024. On February 28, 2024, Selkirk discounted the note at Unionville Bank. The bank's discount rate is 12%. Required: Prepare the journal entries required on February 28, 2024, to accrue interest and to record the discounting for Selkirk. Assume that the discounting is accounted for as a sale. Note: 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 answers to the nearest dollar amount. View transaction list Journal entry worksheet 1 2 Record the discounting of note receivable. Note: Enter debits before credits. Date February 28, 2024 General Journal Debit Credit
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question
Vinubhai
Transcribed Image Text:Selkirk Company obtained a $15,000 note receivable from a customer on January 1,
2024. The note, along with interest at 10%, is due on July 1, 2024. On February 28,
2024, Selkirk discounted the note at Unionville Bank. The bank's discount rate is
12%.
Required:
Prepare the journal entries required on February 28, 2024, to accrue interest and to
record the discounting for Selkirk. Assume that the discounting is accounted for as a
sale.
Note: 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 answers to the nearest dollar amount.
View transaction list
Journal entry worksheet
1
2
Record the discounting of note receivable.
Note: Enter debits before credits.
Date
February 28, 2024
General Journal
Debit
Credit
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