The following are selected 2023 transactions of Marigold Corporation. Sept. 1 Oct. 1 (a) 1 Prepare the journal entries for the payment of the notes at maturity. Assume no other accruals of interest were recorded since the December 31, 2023 year end. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. List all debit entries before credit entries. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.) Purchased inventory from Monty Ltd. on account for $42,800. Marigold uses a periodic inventory system. Issued a $42,800, 12-month, 9% note to Monty in payment of Marigold's account. Borrowed $76,800 from the bank by signing a 12-month, non-interest-bearing $80,900 note. Date Account Titles and Explanation Oct. 1/24 Oct. 1/24 Oct. 1/24 (To record repayment of note) (To accrue interest expense on non-interest- bearing note) (To record repayment of non-interest-bearing note) Debit Credit
The following are selected 2023 transactions of Marigold Corporation. Sept. 1 Oct. 1 (a) 1 Prepare the journal entries for the payment of the notes at maturity. Assume no other accruals of interest were recorded since the December 31, 2023 year end. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. List all debit entries before credit entries. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.) Purchased inventory from Monty Ltd. on account for $42,800. Marigold uses a periodic inventory system. Issued a $42,800, 12-month, 9% note to Monty in payment of Marigold's account. Borrowed $76,800 from the bank by signing a 12-month, non-interest-bearing $80,900 note. Date Account Titles and Explanation Oct. 1/24 Oct. 1/24 Oct. 1/24 (To record repayment of note) (To accrue interest expense on non-interest- bearing note) (To record repayment of non-interest-bearing note) Debit Credit
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Concept explainers
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At the end of the accounting period, a financial statement is prepared by every company, then at that time while preparing the financial statement, the company determines among its total receivable amount how much portion of receivables is collected by the company during that accounting period.
Accounts Receivable
The word “account receivable” means the payment is yet to be made for the work that is already done. Generally, each and every business sells its goods and services either in cash or in credit. So, when the goods are sold on credit account receivable arise which means the company is going to get the payment from its customer to whom the goods are sold on credit. Usually, the credit period may be for a very short period of time and in some rare cases it takes a year.
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![The following are selected 2023 transactions of Marigold Corporation.
Sept. 1
Oct. 1
(a)
1
Prepare the journal entries for the payment of the notes at maturity. Assume no other accruals of interest were
recorded since the December 31, 2023 year end. (Credit account titles are automatically indented when
the amount is entered. Do not indent manually. List all debit entries before credit entries. If no
entry is required, select "No Entry" for the account titles and enter 0 for the amounts.)
Purchased inventory from Monty Ltd. on account for $42,800. Marigold uses a periodic inventory system.
Issued a $42,800, 12-month, 9% note to Monty in payment of Marigold's account.
Borrowed $76,800 from the bank by signing a 12-month, non-interest-bearing $80,900 note.
Date Account Titles and Explanation
Oct.
1/24
Oct.
1/24
Oct.
1/24
(To record repayment of note)
(To accrue interest expense on non-interest-
bearing note)
(To record repayment of non-interest-bearing
note)
Debit
[[|]
Credit](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F32c43a2c-3afb-4fa3-86aa-61c694b3c500%2Fcccdbd7e-33a2-455f-9d07-fc6e0c5313c9%2Fj1wlsbp_processed.png&w=3840&q=75)
Transcribed Image Text:The following are selected 2023 transactions of Marigold Corporation.
Sept. 1
Oct. 1
(a)
1
Prepare the journal entries for the payment of the notes at maturity. Assume no other accruals of interest were
recorded since the December 31, 2023 year end. (Credit account titles are automatically indented when
the amount is entered. Do not indent manually. List all debit entries before credit entries. If no
entry is required, select "No Entry" for the account titles and enter 0 for the amounts.)
Purchased inventory from Monty Ltd. on account for $42,800. Marigold uses a periodic inventory system.
Issued a $42,800, 12-month, 9% note to Monty in payment of Marigold's account.
Borrowed $76,800 from the bank by signing a 12-month, non-interest-bearing $80,900 note.
Date Account Titles and Explanation
Oct.
1/24
Oct.
1/24
Oct.
1/24
(To record repayment of note)
(To accrue interest expense on non-interest-
bearing note)
(To record repayment of non-interest-bearing
note)
Debit
[[|]
Credit
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