Following are selected transactions of Danica Company for 2016
and 2017.
2016
Dec. | 13 | Accepted a $16,000, 45-day, 6% note dated December 13 in granting Miranda Lee a time extension on her past-due account receivable. | ||
31 | Prepared an adjusting entry to record the accrued interest on the Lee note. |
2017
Jan. | 27 | Received Lee's payment for principal and interest on the note dated December 13. | ||
Mar. | 3 | Accepted a $10,000, 8%, 90-day note dated March 3 in granting a time extension on the past-due account receivable of Tomas Company. | ||
17 | Accepted a $8,000, 30-day, 6% note dated March 17 in granting H. Cheng a time extension on his past-due account receivable. | |||
Apr. | 16 | H. Cheng dishonored his note when presented for payment. | ||
May | 1 | Wrote off the H. Cheng account against the Allowance for Doubtful Accounts. | ||
June | 1 | Received the Tomas payment for principal and interest on the note dated March 3. |
Complete the table to calculate the interest amounts and use those
calculated values to prepare your journal entries. (Do not
round intermediate calculations. Use 360 days a year.)
M.Lee Note | |||||||
total | Amount | interest | |||||
through | accrued at | Recognized | |||||
Maturity | 31-Dec | 27-Jan | |||||
Principal | 16,000 | 16,000 | 16,000 | ||||
Rate(%) | 6% | 6% | 6% | ||||
time | 45/360 | 18/360 | 27/360 | ||||
total intt | 120 | 48 | 72 | ||||
Tomas co Note | |||||||
total | |||||||
through | |||||||
Maturity | |||||||
Principal | 10,000 | ||||||
Rate(%) | 8% | ||||||
time | 90/360 | ||||||
total intt | 200 | ||||||
H.Cheng note | |||||||
total | |||||||
through | |||||||
Maturity | |||||||
Principal | 8,000 | ||||||
Rate(%) | 6% | ||||||
time | 30/360 | ||||||
total intt | 40 | ||||||
Journal Entries | |||||||
Date | General Journal | Debit | Credit | ||||
2016 | |||||||
13-Dec | Note receivable | 16,000 | |||||
Accounts receivable | 16,000 | ||||||
31-Dec | interest receivable | 78 | |||||
interest income | 78 | ||||||
2017 | |||||||
27-Jan | Cash | 16,120 | |||||
interest receivable | 48 | ||||||
interest income | 72 | ||||||
Note receivable -M lee | 16,000 | ||||||
3-Mar | Note receivable | 10,000 | |||||
Account receivable-Tomas | 10,000 | ||||||
17-Mar | Note receivable | 8,000 | |||||
Account receivable-H.Cheng | 8,000 | ||||||
16-Apr | Account receivable-H.Cheng | 8,040 | |||||
interest income | 40 | ||||||
note receivable | 8,000 | ||||||
1-May | Allowance for Doubtful Accounts | 8,040 | |||||
Accounts receivable-H.Cheng | 8,040 | ||||||
1-Jun | Cash | 10,200 | |||||
interest income | 200 | ||||||
note receivable-tomas | 10,000 | ||||||
Following are selected transactions of Danica Company for 2016 and 2017. 2016 Dec. 13 Accep...
Following are selected transactions of Danica Company for 2017 and 2018 2017 Dec. 13 Accepted a $9,500, 45-day, note dated December 13 in granting Miranda Lee a time extension on her past due account receivable. 31 Prepared an adjusting entry to record the accrued interest on the tee note. 2018 Jan. 27 Received Lee's payment for principal and interest on the note dated December 13. Mar. Accepted a $5,000, 105, 90-day note dated March 3 in granting a time extension...
2016 Dec. 13 Accepted a $20,000, 45-day, 8% note dated December 13 in granting Miranda Lee a time extension on her past-due account receivable. 31 Prepared an adjusting entry to record the accrued interest on the Lee note. 2017 Jan. 27 Received Lee's payment for principal and interest on the note dated December 13. Mar. 3 Accepted a $14,000, 8%, 90-day note dated March 3 in granting a time extension on the past-due account receivable of Tomas Company. 17 Accepted...
Exercise 7-12 Notes receivable transactions LO P4 Following are selected transactions of Danica Company for 2016 and 2017. 2016 Dec. 13 Accepted a $26,000, 45-day, 10% note dated December 13 in granting Miranda Lee a time extension on her past-due account receivable 31 Prepared an adjusting entry to record the accrued interest on the Lee note. 2017 Jan. 27 Received Lee's payment for principal and interest on the note dated December 13. Mar. 3 Accepted a $20,000, 8%, 90-day note...
Following are transactions of Danica Company. Dec. 13 Accepted a $9,500, 45-day, 8% note in granting Miranda Lee a time extension on her past-due account receivable. 31 Prepared an adjusting entry to record the accrued interest on the Lee note Exercise 9-13 Notes receivable transactions LO P4 Jan. 27 Received Lee's payment for principal and interest on the note dated December 13 . Mar. 3 Accepted a $ 5,000,10%, 90 -day note in granting a time extension on the past-due account receivable of Tomas Company.17...
Following are transactions of Danica Company. Dec. 13 Accepted a $29,000, 45-day, 10% note in granting Miranda Lee a time extension on her past-due account receivable. 31 Prepared an adjusting entry to record the accrued interest on the Lee note. Exercise 7-13 Notes receivable transactions LO P4 Jan. 27 Received Lee's payment for principal and interest on the note dated December 13. Mar. 3 Accepted a $23,000, 6%, 90-day note in granting a time extension on the past-due account receivable of Tomas Company. 17 Accepted a...
Exercise 7-12 Notes receivable transactions LO P4 Following are selected transactions of Danica Company for 2016 and 2017 points 2016 Dec. 13 Nocepted a $16,000, 45-day, 8: note dated December 13 in granting Miranda Lee a time extension on her past-due account receivable. 31 Prepared an adjusting entry to record the acerued interest on the Lee note. look 2017 Jan. 27 Received Lee's payment for principal and interest on the note dated December 13. Mar. Accepted a 510,000, 81, 90-day...
Following are selected transactions of Danica Company for 2016. Dec. 13 Accepted a $17,000, 45-day, 9% note dated December 13 in granting Miranda Lee a time extension on her past-due account receivable. 31 Prepared an adjusting entry to record the accrued interest on the Lee note. Complete the table to calculate the interest amounts at December 31st and use the calculated value to prepare your journal entries. (Do not round your intermediate calculations. Use 360 days a year.)
ollowing are selected transactions of Danica Company for 2017. Dec. 13 Accepted a $14,000, 45-day, 9% note dated December 13 in granting Miranda Lee a time extension on her past-due account receivable. 31 Prepared an adjusting entry to record the accrued interest on the Lee note. Complete the table to calculate the interest amounts at December 31st and use the calculated value to prepare your journal entries. (Do not round your intermediate calculations. Use 360 days a year.)
Chapter 9 Homework 0 Saved 11 Required information (The following information applies to the questions displayed below.) Part 2 of 2 Following are transactions of Danica Company. Dec. 13 Accepted a $12,000, 45-day, 8note in granting Miranda Lee a time extension on her past-due account receivable. 31 Prepared an adjusting entry to record the accrued interest on the Lee note. points eBook Jan. 27 Received Lee's payment for principal and interest on the note dated December 13. Mar. 3 Accepted...
Following are selected transactions of Danica Company for 2016. Dec. 13 Accepted a $18,ø00, 45-day, 10% note dated December 13 in granting Miranda Lee a time extension on her past-due account receivable. 31 Prepared an adjusting entry to record the accrued interest on the Lee note. Complete the table to calculate the interest amounts at December 31S and use the calculated value to prepare your journal entries. (Do not round your intermediate calculations. Use 360 days a year.) Complete this...