Valley Spa purchased $8,000 in plumbing components from Tubman Co. Valley Spa signed a 60-day, 12% promissory note for $8,000. If the note is dishonored, but Tubman itends to continue collection efforts, what is the journal entry to record the dishonored note? (Use 360 days a year.) Multiple Choice Debit Accounts Receivable $8,160; debit Bad Debt Expense $160; credit Notes Receivable $8,000 Debit Bad Debt Expense $8,160: credit Accounts Recelvable $8,160. Debit Bad Debt Expense $8,000; credit Notes Receiveble $8,000. Debit Accounts Receivable-Valey Spa $8,000; crecit Notes Recevable $8,000. Debit Accounts Receivable-Valley Spe $8,160, credit Interest Revenue $160, crecit Notes Recelvable $8,000
Valley Spa purchased $8,000 in plumbing components from Tubman Co. Valley Spa signed a 60-day, 12% promissory note for $8,000. If the note is dishonored, but Tubman itends to continue collection efforts, what is the journal entry to record the dishonored note? (Use 360 days a year.) Multiple Choice Debit Accounts Receivable $8,160; debit Bad Debt Expense $160; credit Notes Receivable $8,000 Debit Bad Debt Expense $8,160: credit Accounts Recelvable $8,160. Debit Bad Debt Expense $8,000; credit Notes Receiveble $8,000. Debit Accounts Receivable-Valey Spa $8,000; crecit Notes Recevable $8,000. Debit Accounts Receivable-Valley Spe $8,160, credit Interest Revenue $160, crecit Notes Recelvable $8,000
Intermediate Accounting: Reporting And Analysis
3rd Edition
ISBN:9781337788281
Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Chapter6: Cash And Receivables
Section: Chapter Questions
Problem 11RE: On December 1 of the current year, Jordan Inc. assigns 125,000 of its accounts receivable to...
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![Valley Spa purchased $8,000 in plumbing components from Tubman Co. Valley Spa signed a 60-day, 12% promissory note for $8,000. If the note is
dishonored, but Tubman intends to continue collection efforts, what is the journal entry to record the dishonored note? (Use 360 days a year.)
Multiple Choice
Debit Accounts Receivable $8,160; debit Bad Debt Expense $160; credit Notes Recelveble $8,000
Debit Bad Debt Expense $8,160; credit.Accounts Recelvable $8,160.
Debit Bad Debt Expense $8,000; credit Notes Receiveble $8,000.
Debit Accounts Receivable-Valley Spa $8,000; crecit Notes Receivable $8,000.
Debit Accounts Receivable-Valley Spe $8.160, credit interest Revenue $160, credit Notes Recevable $8,000
Prey
10 of 10](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fb31f5a6e-d763-4b35-9932-ee796a9c468d%2Fb240d6ba-9801-46e3-86d2-204858fd7bd8%2Fzrq71i_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Valley Spa purchased $8,000 in plumbing components from Tubman Co. Valley Spa signed a 60-day, 12% promissory note for $8,000. If the note is
dishonored, but Tubman intends to continue collection efforts, what is the journal entry to record the dishonored note? (Use 360 days a year.)
Multiple Choice
Debit Accounts Receivable $8,160; debit Bad Debt Expense $160; credit Notes Recelveble $8,000
Debit Bad Debt Expense $8,160; credit.Accounts Recelvable $8,160.
Debit Bad Debt Expense $8,000; credit Notes Receiveble $8,000.
Debit Accounts Receivable-Valley Spa $8,000; crecit Notes Receivable $8,000.
Debit Accounts Receivable-Valley Spe $8.160, credit interest Revenue $160, credit Notes Recevable $8,000
Prey
10 of 10
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