Question

17) Jasper makes a $89,000, 90-day, 7% cash loan to Clayborn Co. Jasper's entry to record the transaction should be: A) Debit Notes Receivable for $89,000; credit Cash $89,000. B) Debit Notes Payable $89,000: credit Accounts Payable $89,000. C) Debit Accounts Receivable $89,000; credit Notes Receivable $89,000. D) Debit Notes Receivable $89.000; credit Sales $89,000. E) Debit Cash $89,000; credit Notes Receivable for $89,000. 18) Jasper makes a $50,000, 90-day, 9,0% cash loan to Clayborn Co. Jasper's entry to record the collection of the note and interest at maturity should be: (Use 360 days a year.) A) Debit Cash S51,125,00; credit Interest Revenue $1125.00: credit Notes Receivable $50,000. B) Debit Notes Payable $50.000; Debit Interest Expense $4500; credit Cash $54,500. C) Debit Cash $54,500: credit Interest Revenue $4500, credit Notes Receivable $50,000. D) Debit Cash $51,125.00; credit Notes Receivable for $51,125.00. E) Debit Cash for $50,000; credit Notes Receivable $50,000. 19) The amount due on the maturity date of a $9600, 45-day 8%, note receivable is: (Use 360 days a year.) A) $8832. B) $10,368. C) $9696. D) $9600. E) $9504. 20) Giorgio Italian Market bought $10,600 worth of merchandise from Food Suppliers and signed a 90-day, 8% promissory note for the $10,600. Food Supplier's journal entry to record the sales transaction is: A) Debit Notes Receivable $10,600; debit Interest Receivable $212; credit Sales $10,812. B) Debit Accounts Receivable $10,812; credit Sales $10,812. C) Debit Notes Receivable $10,812; credit Sales $10,812. D) Debit Accounts Receivable $10,600; credit Sales $10,600. E) Debit Notes Receivable $10,600; credit Sales $10,600. 21) Giorgio Italian Market bought $8200 worth of merchandise from Food Suppliers and signed a 90-day, 6% promissory note for the $8200. Food Supplier's journal entry to record the collection on the maturity date is: (Use 360 days a year.) A) Debit Cash $8323; credit Notes Receivable $8323 B) Debit Notes Receivable $8323; credit Sales $8323 C) Debit Cash $8323; credit Interest Revenue S123; credit Notes Receivable $8200 D) Debit Notes Receivable $8200; credit Cash $8200 E) Debit Cash $8200; debit Interest Receivable S123; credit Sales $8323

Answer 1

As per HOMEWORKLIB RULES we answer one question per post. But I have answered multiple questions. Kindly post remaining questions in next post
Dear Student
Thank you for using homeworklib
Please find below the answer
Q17 A Debit Note receivable for $89,000 Credit cash for $89,000
Q18 A Debit cash 51,125, Credit Interest revenue 1125 and credit note receivable 50,000
Entry is	Debit	Credit
Cash dr	51,125.00
To Interest revenue = 50,000*9%*90/360		1,125.00
To Note receivable		50,000.00
Q19 Amount = 9600 + 9600*8%*45/360	9,696.00