Question

D Question 2 22 pts Samberg Inc. had the following transactions. Dec 31 - Accrued interest on the note. (Round to the nearest whole dollar amount.) Jan. 31 - Received the interest on the note's maturity date Jan. 31 - Received the principal on the note's maturity date. (Round to the nearest whole dollar amount.) Required: Prepare the required journal entries. Use the MSWord link for the table to write your journal entries.

Answer 1

Solution:

Journal Entries - Samberg Inc.
Date	Particulars	Debit	Credit
1-Nov	Note receivables Dr	$10,000.00
	To Cash		$10,000.00
	(Being loan given to employee)
31-Dec	Interest receivables Dr ($10,000*10%*2/12)	$167.00
	To Interest revenue		$167.00
	(To record interest accured)
31-Jan	Cash Dr	$250.00
	To Interest receivables		$167.00
	To Interest revenue		$83.00
	(To record interest received on maturity)
31-Jan	Cash Dr	$10,000.00
	To Notes receivables		$10,000.00
	(To record principal received on maturity)