Question

i need general journal, schedule of payables, calculation of interest, and year 2 payment

The January 1. Year 1 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. (Use 360 days a year.) Year 1 Apr. May July Aug Nov. Nov. Dec. 20 Purchased $53,750 of merchandise on credit from Garcia, terms n/30. 19 Replaced the April 2e account payable to Garcia with a 90-day, 1ex, $38,eee note payable along with paying $15,750 in cash. 8 Borrowed $90,000 cash from AKR Bank by signing a 120-day, 9%, $90,000 note payable. 17 Paid the amount due on the note to Garcia at the maturity date. 5 Paid the amount due on the note to AKR Bank at the maturity date. 28 Borrowed $45,000 cash from Albany Bank by signing a 60-day, 8%, $45,000 note payable. 31 Recorded an adjusting entry for accrued interest on the note to Albany Bank. Year 2 Jan. 27 Paid the amount due on the note to Albany Bank at the maturity date. General Journal General Ledger Schedule of Payables Requirement Trial Balance Calculation of Interest Year 2 payment int in the aluation of Interest" tab to ensure the

Answer 1

Credit (S) Date Accounts Title and Explanation Apr-20 Merchandise Inventory Account Payable - Garcia Debit ($) 53750 53750 53750 May-19 Account Payable - Garcia Notes Payable - Garcia Cash 38000 15750 90000 Jul-08 Cash Notes Payable - AKR Bank 90000 Aug-17 Notes Payable - Garcia Interest Expense (38000*10%*90/360) Cash 38000 950 38950 Nov-05 Notes Payable - AKR Bank Interest Expense (90000*9%*120/360) Cash 90000 2700 92700 45000 Nov-28 Cash Notes Payable - Albany Bank 45000 340 Dec-31 Interest Expense (45000*8%*34/360) Interest Payable 3401

Credit ($) Perry Company Trial Balance December 31, 2018 Account Title Debit ($) Cash 31100 Merchandise Inventory 61750 Interest Payable Notes Payable - Albany Bank Perry capital 3990 340 45000 51500 Total $ 96840 $ 96840 North Co. Schedule of Account Payables Account Payable $ Total Account Payable $ 0 0 North Co. Schedule of Notes Payables Notes payable - Albany Bank $ 45000 Total Notes payable $ 45000

North Co. Calculation of interest expense August 17 - Garcia note Principal Interest rate Number of day's interest to be recorded in Year 1 38000 10% 90 950 November 5 - AKR Bank Principal Interest rate Number of day's interest to be recorded in Year 1 90000 9% 120 2700 November 28 - Albany Bank Principal Interest rate Number of day's interest to be recorded in Year 1 45000 8% 34 340 Total interest expense - Year 1 $ 3990

Credit (S) Date Accounts Title and Explanation Jan-27 Notes Payable - Albany Bank Interest Payable Interest Expense Cash Debit ($) 45000 340 260 45600

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