Question

On January 1 2018, Stoops Entertainment purchases a building for $610,000, paying $110,000 down and borrowing the remaining $500,000, signing a 9%, 15-year mortgage Installment payments of $5.07133 are due at the end of each month, with the first payment due on January 31, 2018 6. 176 points Required information Required: 1. Record the purchase of the building on January 1, 2018. (if no entry nevent, select "No journal entry required in the first account field.) View transaction list Journal entry worksheet Record the purchase of the building. Note: Enter debits before credits Date General Journal Debit Credit Record entry Clear entry View general Journal

Answer 1

Book1 - Excel (Product Activation Failed) 0 ESSE File Home Insert - Sign in 0 X 24 Share Page Layout Formulas Data Review View Tell me what you want to do.... F63 x fic F о н т у кв Date 53 jan-01-2018 56 1)journal enteries for purchase particulars debit T credit Building a/c-dr 610000 to cash a/c 110000 to 9% borrowing a/c 500000 (being building purchased) 2) Computation of amortization schedule cash paid interest exp d ecrease in carrying value 110000 110000 5071.33 3750 5071.33 3740.1 1331.23 decrease in carrying amount interest exp 5071.33-3750=1321.33 500000*9/100*1/12=3750 5071.33-3740.10=1331.23 498678.67*9/12*1/12=3740.10 carrying value 500000 498678.67 4 97347.44 Date 59 1.1.18 60 01.31.18 61 02.28.18 62 W.N- 63 01.31.18 64 02.28.18 65 66 67 Date jan 31.2018 credit 1321.33 3750) 3)Journal enteries for payment particulars debit 9 % borrowing a/c-dr interest a/c-dr to cash a/c (Being interest and installement paid) 4) Loan and interest payment over 15 yeas actual payment on the loan interest exp 5071.33 500000 412839 912839 Sheet1 Ready @ J -- - + 100% 5:14 AM E ^ = 1)) 227/20203 O tex] -