Question

Exercise 7-14 On December 31, 2015, Carla Co. performed environmental consulting services for Hayduke Co. Hayduke was short of cash, and Carla Co. agreed to accept a $340,000 zero-interest-bearing note due December 31, 2017, as payment in full. Hayduke is somewhat of a credit risk and typically borrows funds at a rate of 124 Carta is much more creditworthy and has various lines of credit at 6 Your answer is correct Prepare the journal entry to record the transaction of December 31, 2015, for the Carta Co. (Round present walue factor calculation to decimal places 1.25124 and finalm ers to O decimal places, ... 275. I ne entry is required, select "No Entry for the account title and enter for the amounts Credit account s are automatically indented when the amount is entered. Do not indent manually.) Date Account Tities and Explanation Dec 31, 2015 Trots Receivable Discount on Notes Receiva Service Revenue

Answer 1

		Debit	Credit
Dec 31,2017	Cash	340000
	Notes Receivable		340000
	(To record collection of note)