Question

ca Vista C GL0901-Based on Problem 9-1A LO C2, P1 The January 1,2016 trial balance for the Perry Company is found on the trial balance tab. The beginning balances are assumed North Co. entered into the following transactions involving short-term liabilities in 2016 and 2 2016 Apr. 20 Purchased $53,750 of merchandise on credit from Garcia, terns are a/30. North uses the pe 017. (Use 360 days a year) rpetual inventory May 19 Replaced the Apri1 20 account payable to Gareia vith a so-day, $38,000 note bearing 10 with paying $15,750 in cash y sigainga 120-day, 9 interest-bearing note with a face value of $90,000. July 8 Borroved $90,000 cash from AKR Bank b Aug. 17 Paid the anount due on the note to Garela at the naturity Nov. 5 Paid the anount due on the note to AKR Bank at the naturity d Nov. 28 Borroved 45,000 cash from Albany Bank by signing a so-day, 8t interest-bearing note vith a face value of $45,000 Dec. 31 Recorded an ad justing entry tor acerued interest on the note to Albany Bank. 2017 3an. 27 Paid the amount due on the note to Albany Bank at the naturity date Print GeneralG of Calculation of 2017 payment General Trial Balance Payables Ledger Truai Baiance Schedule of Calculation st General Journal tab - Prepare the 2016 journal entries related to the notes and accounts payable of North Co. Calculation of interest tab- Use the interest formula (P xR x T) to verify the amount of interest recorded in Verify that total interest expense agrees with the trial balance. 2017 payment tab- Prepare the January 27, 2017 entry to record the repayment of the note at maturity.

Answer 1