(a).
Concept Introduction:
The analysis of transactions using the accounting equation.
(b)
Concept Introduction:
Double-entry accounting: This accounting needs the
The
(c).
Concept Introduction:
Accounting equation: The relation of assets, liability, and equity is reflected in the accounting equation. Assets are resources a company owns or controls, whereas liabilities are what a company owes to outsiders and equity is the claims of the owners on the assets of the company.
The T accounts for given transactions.
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FINAN&MANAGERIAL ACCT (LL)W/1TERM ACCESS
- A company collects an honored note with a maturity date of 24 months from establishment, a 10% interest rate, and an initial loan amount of $30,000. Which accounts are used to record collection of the honored note at maturity date? A. Interest Revenue, Interest Expense, Cash B. Interest Receivable, Cash, Notes Receivable C. Interest Revenue, Interest Receivable, Cash, Notes Receivable D. Notes Receivable, Interest Revenue, Cash, Interest Expensearrow_forwardCollection of Amounts Previously Written Off Customer Rob Hufnagel owes Kellman Corp. $1,250. Kellman determines that the total amount is uncollectible and writes off all of Hufnagels debt. Hufnagel later pays $350 to Kellman. Required: Make the appropriate journal entries (if any) to record the receipt of $350 by Kellman.arrow_forwardRefer to RE6-8. On April 23, 2020, McKinncy Co. receives a check, from Mangold Corporation for 8,500. Prepare the journal entry for McKinncy to record the collection of the account previously written off.arrow_forward
- Luna Company accepted credit cards in payment for $7,100 of services performed during July Year 1. The credit card company charged Luna a 1.50 percent service fee; it paid Luna as soon as it received the invoices. Required a. Prepare the general journal entry to record the service revenue. b. Prepare the general journal entry for the collection of the receivable from the credit card company. c. Based on this information alone, what is the amount of net income earned during the month of July? Complete this question by entering your answers in the tabs below. Required A Required B Required C Prepare the general journal entry to record the service revenue. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Round your answers to nearest whole dollar.) View transaction list Journal entry worksheet < A Record service revenue on credit card payment and credit card expenses. Note: Enter debits before credits. Transaction 1 General…arrow_forwardPaper Company receives a $3,807, 3-month, 9% promissory note from Dame Company in settlement of an open accounts receivable. What entry will Paper Company make upon receiving the note? a. Notes Receivable—Dame Company $3,807 Accounts Receivable—Dame Company $3,807 b. Notes Receivable—Dame Company $3,893 Accounts Receivable—Dame Company $3,807 Interest Revenue $86 c. Notes Receivable—Dame Company $3,893 Accounts Receivable—Dame Company $3,893 d. Notes Receivable—Dame Company $3,893 Interest Receivable $86 Accounts Receivable—Dame Company $3,807 Interest Receivable $86arrow_forwardPresented below are three receivables transactions.Indicate whether these receivables are reported as accounts receivable, notes receivable, or other receivables on a balance sheet. (a) Advanced $10,000 to an employee. select an account title Accounts ReceivableNotes ReceivableOther Receivables (b) Received a promissory note of $34,000 for services performed. select an account title Accounts ReceivableNotes ReceivableOther Receivables (c) Sold merchandise on account for $60,000 to a customer.arrow_forward
- Please give explainations as well.arrow_forwardOn payday, Company A makes payment of ş 24,350 to its employees and record the following entry: General Journal Page Date Account Titles and Explanation Debit Creditarrow_forward6. Prepare general journal entries for the following transactions of Salvador Company. April 30 Received a $5,000, 6%, 30-day note receivable from Juan Co. as settlement for its $5,000 account receivable. May 30 The note received from Juan on April 30 was collected in full.arrow_forward
- What will be the journal entry to record the issue of note of $30,000 to a creditor who has agreed to pay the amount on the specified terms as per the note agreement? а. Ref. Debit(in S) Credit(in S) 30,000 Date Description |Notes Payable Cash |To record the issue of note against the amount due) $ 30,000 b. Date Description Ref. Debit(in $) | Credit(in S) |Notes Payable Accounts Payable |To record the issue of note against the amount due) 30,000 $ 30,000 с. |Ref. Debit(in S) Credit(in S)_ 30,000 Date Description |Accounts Payable Notes Payable |To record the issue of note against the amount due) 30,000 d. |Ref. Debit(in $) Credit(in $) 30,000 Description Date Accounts Payable Cash |(To record the issue of note against the amount due) 30,000arrow_forwardRecord the following transactions for Redeker Co. in the general journal.arrow_forwardBelow are the transactions related to notes receivable activity for Barton Corporation. Record each transaction in the journal provided. Enter the date of the last transaction. 2020 13-Nov Accepted a $40,000, 90-day, 6% note from a customer in exchange for their past due accounts receivable balance 31-Dec Made an entry to accrue the accrued interest earned on the Nov 13 note 2021 11-Feb Received payment for the principal and interest on the note dated November 13 22-Apr Accepted a $20,000, 45-day, 5% note from a customer in exchange for consulting fees provided ??? Received payment for the principal and interest on the note dated April 22…arrow_forward
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