Loose Leaf for Fundamentals of Accounting Principles and Connect Access Card
Loose Leaf for Fundamentals of Accounting Principles and Connect Access Card
22nd Edition
ISBN: 9781259542169
Author: John J Wild
Publisher: McGraw-Hill Education
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Chapter 11, Problem 4E
To determine

Notes Payable:

It is a negotiable debt instrument used to borrow money for the business operation purpose for specified period of time with certain interest.

Maturity of Notes Payable:

When the terms of a note payable come to an end, it is called maturity of notes payable.

To determine:

1. Determine when the note matures.

2. Compute the interest expense on this note in 2015.

3. Compute the interest expense on this note in 2016.

4. Prepare journal entries to record

(a) Issuance of the note.

(b) Accrual interest at the end of 2015.

(c) Payment of the note at maturity.

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- Effects Manufacturing produces a pesticide chemical and uses process costing. There are three processing departments Mixing, Refining, and Packaging. On January 1, the Refining Department had 4,000 gallons of partially processed product in production. During January, 30,000 gallons were transferred in from the Mixing Department, and 30,000 gallons were completed and transferred out. At the end of the month, 4,000 gallons of partially processed product remained in the Refining Department. See additional details below. Refining Department ending balance at January 31 Percent completed for materials cost: 94% Percent completed for conversion cost: 76% What was the total number of equivalent units of production for conversion costs for the month of January for the Refining Department? a. 3,040 units. b. 30,000 units. c. 3,760 units. d. 33,040 units.
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Loose Leaf for Fundamentals of Accounting Principles and Connect Access Card

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