Question

This Question: 18 pts 19 of 27 (4 completej > This Quiz: 100 pts possible i Transactions The following transactions of Violin Music Company occurred during 2017 and 2018: (Click the icon to view the transactions.) Requirement Record the transactions in Violin's Journal. Explanations are not required. Requirement. Record the transactions in Violin's journal. (Record debits first, then credits. Explanations are not required.) Purchased a Steinway piano (Inventory) for $40,500, signing a six month, 10% note. 2017 Mar. 3 Purchased a Steinway plano (inventory) for $40,500, signing a six-month, 10% note Apr. 30 Borrowed $52,000 on a 11% note payable that calls for annual installment payments of S26,000 principal plus interest. Record the short-term note payable in a separate account from the long-term note payable. Sept. 3 Paid the six-month, 10% note at maturity, Dec. 31 Accrued warranty expense, which is estimated at 4% of sales of $197.000. 31 Accrued interest on the outstanding note payable. 2018 Apr 30 Paid the first installment plus interest for one year on the outstanding note payable. Journal Entry Accounts Debit Credit Date 2017 Mar 3 Print Done notaiment payments of $26.000 principal plus interest. Record the short-term note payable in a separate account from the long-term noto payable. Accounts Receivable Cash Estimated Warranty Payable Borrowed 552.0 Interest Expense Interest Payable Inventory Notes Payable, Long-term 2017 Notes Payable. Short-term Apr. 30 Sales Revenue Warranty Expense Date Debit Credit Choose from any list or enter any number in the input fiolds and then continue to the next question.

Answer 1

Date	Account title and explanation	Debit	Credit
Mar. 3,2017	Inventory	$40,500
	Notes payable		$40,500
	[Purchase of inventory in exchange of notes]
Apr.30,2017	Cash	$52,000
	Notes payable-Short term		$26,000
	Notes payable- Long term		$26,000
	[Borrowed cash in exchange of notes]
Sept. 3,2017	Notes payable	$40,500
	Interest expense [40,500 x 10% x (6/12)]	$2,025
	Cash		$42,525
	[Payment for the notes]
Dec.31,2017	Warranty expense [197,000 x 4%]	$7,880
	Warranty liability		$7,880
	[Accrued warranty expense]
Dec.31,2017	Interest expense [52,000 x 11% x (8/12)]	$3,813
	Interest payable		$3,813
	[Accrued interest expense]
Apr.30,2018	Notes payable-short term	$26,000
	Interest payable [26,000 x 11% x (8/12)]	$1,907
	Interest expense [26,000 x 11% x (4/12)]	$954
	Cash		$28,861
	[Payment of first installment on notes payable]