Homework Answers
Ans: Following are the journal entries for derek morgan company
| date | Account title and explanation | Debit($) | Credit($) |
| Oct 1,2016 | Cash | $14,000,000 | |
| Promissory note Payable | $10,000,000 | ||
| Zero interest note payable | $4,000,000 | ||
| ( to record the entry for the transaction ) | |||
| Dec 31,2016 | Interest expense | 4,000,000 | |
| Interest payable | 3,000,000 | ||
| Zero interest note payable(4,000,000*10%*3/12)** | 1,000,000 | ||
| ( to record adjustment entry) |
**= Given- (4.4%-4%)/4=10%
Add Answer to:
1. Derek Morgan Company raised $14 million cash on October 1, 2016, to provide working capital...
Blanton Plastics, a household plastic product manufacturer, borrowed $14 million cash on October 1, 2016, to...
Blanton Plastics, a household plastic product manufacturer, borrowed $14 million cash on October 1, 2016, to provide working capital for year-end production. Blanton issued a four-month, 12% promissory note to L&T Bank under a prearranged short-term line of credit. Interest on the note was payable at maturity. Each firm's fiscal period is the calendar year. Required: 1. Prepare the journal entries to record (a) the issuance of the note by Blanton Plastics and (b) L&T Bank's receivable on October 1,...
1 Blanton Plastics, a household plastic product manufacturer, borrowed $24 million cash on October 1, 2018,...
1
Blanton Plastics, a household plastic product manufacturer, borrowed $24 million cash on October 1, 2018, to provide working capital for year-end production. Blanton issued a four-month, 15% promissory note to L&T Bank under a prearranged short-term line of credit. Interest on the note was payable at maturity. Each firm's fiscal period is the calendar year. Required: 1. Prepare the journal entries to record (a) the issuance of the note by Blanton Plastics and (b) L&T Bank's receivable on October...
Blanton Plastics, a household plastic product manufacturer, borrowed $25 million cash on October 1, 2021, to...
Blanton Plastics, a household plastic product manufacturer, borrowed $25 million cash on October 1, 2021, to provide working capital for year-end production. Blanton issued a four-month, 9% promissory note to L&T Bank under a prearranged short-term line of credit. Interest on the note was payable at maturity. Each firm’s fiscal period is the calendar year. Required: 1. Prepare the journal entries to record (a) the issuance of the note by Blanton Plastics and (b) L&T Bank’s receivable on October...
Problems -Stem Corporation borrowed SiO million cash on September 1 working capital for the year's production...
Problems -Stem Corporation borrowed SiO million cash on September 1 working capital for the year's production Stern issued a 6-month, 10% prom t he fiscal year Bank. Interest on the note is payable at maturity. The firm uses the payable at maturity. The firm uses the calendar year as the cash on September 1, 2018, to provide additional month, 10% promissory note to Second State Required: 1. Prepare all journal entries from issuance to maturity for journal entries. ance to...
Problem 13-1 Bank loan; accrued interest [LO13-2]
Problem 13-1 Bank loan; accrued interest [LO13-2] Blanton Plastics, a household plastic product manufacturer, borrowed $8 million cash on October 1, 2018, to provide working capital for year-end production. Blanton Issued a four-month, 6% promissory note to LAT Bank under a prearranged short-term line of credit. Interest on the note was payable at maturity. Each firm's fiscal period is the calendar year. Required: 1. Prepare the journal entries to record (a) the issuance of the note by Blanton Plastics and (b) LET Bank's receivable...
The January 1, 2016 trial balance for the Tyrell Company is found on the trial balance...
The January 1, 2016 trial balance for the Tyrell Company is
found on the trial balance tab. The beginning balances are assumed.
Tyrell Co. entered into the following transactions involving
short-term liabilities in 2016 and 2017
Prepare the journal entries related to notes and
accounts payable.
The January 1, 2016 trial balance for the Tyrell Company is found on the trial balance tab. The beginning balances are assumed Tyrell Co. entered into the following transactions involving short-term liabilities in 2016...
Question2 Singh Limited purchased equipment costing $150,000 on October 1, 2016, by paying 10% down and...
Question2 Singh Limited purchased equipment costing $150,000 on October 1, 2016, by paying 10% down and signing an 8%, 9-month note payable for the balance. Solvency Limited's year end is December 31. a. Prepare journal entries to record the purchase of the equipment, the accrual of interest on December 31, and the payment of the note at maturity. For ease of computation assume that Solvency calculates interest expense based on the number of months, outstanding, rather than the number of...
The January 1, 2016 trial balance for the North Company is found on the trial balance...
The January 1, 2016 trial balance for the North Company is found on the trial balance tab. The beginning balances are assumed King Co. entered into the following transactions involving short-term liabilities in 2016 and 2017. (Use 360 days a year.) 2016 Apr. 20 Purchased $46,250 of merchandise on credit from Turner, terms are n/30. King uses the perpetual inventory system with paying $7,250 in cash. $117,000 May 19 Replaced the April 20 account payable to Turner with a 90-day,...
Problem 13-1 Bank loan; accrued interest (LO13-2) Blanton Plastics, a household plastic product manufacturer, borrowed $7...
Problem 13-1 Bank loan; accrued interest (LO13-2) Blanton Plastics, a household plastic product manufacturer, borrowed $7 million cash on October 1, 2018, to provide working capital for year-end production. Blanton issued a four-month, 15% promissory note to L&T Bank under a prearranged short-term line of credit Interest on the note was payable at maturity. Each firm's fiscal period is the calendar year. Required: 1. Prepare the journal entries to record the issuance of the note by Blanton Plastics and (b)...
Tyrell Co. entered into the following transactions involving short-term liabilities in 2016 and 2017 2016 Apr....
Tyrell Co. entered into the following transactions involving short-term liabilities in 2016 and 2017 2016 Apr. 20 Purchased $37,000 of merchandise on credit from Locust, terms n/30. Tyrell uses the perpetual May 19 Replaced the April 20 account payable to Locust with a 90-day, S35.000 note bearing 8% annual July 8 Borrowed $69,000 cash from NBR Bank by signing a 120-day, 10% interest-bearing note with a face inventory system. interest along with paying $2,000 in cash. value of $69, 000....
Blanton Plastics, a household plastic product manufacturer, borrowed $14 million cash on October 1, 2016, to provide working capital for year-end production. Blanton issued a four-month, 12% promissory note to L&T Bank under a prearranged short-term line of credit. Interest on the note was payable at maturity. Each firm's fiscal period is the calendar year. Required: 1. Prepare the journal entries to record (a) the issuance of the note by Blanton Plastics and (b) L&T Bank's receivable on October 1,...
1
Blanton Plastics, a household plastic product manufacturer, borrowed $24 million cash on October 1, 2018, to provide working capital for year-end production. Blanton issued a four-month, 15% promissory note to L&T Bank under a prearranged short-term line of credit. Interest on the note was payable at maturity. Each firm's fiscal period is the calendar year. Required: 1. Prepare the journal entries to record (a) the issuance of the note by Blanton Plastics and (b) L&T Bank's receivable on October...
Problems -Stem Corporation borrowed SiO million cash on September 1 working capital for the year's production Stern issued a 6-month, 10% prom t he fiscal year Bank. Interest on the note is payable at maturity. The firm uses the payable at maturity. The firm uses the calendar year as the cash on September 1, 2018, to provide additional month, 10% promissory note to Second State Required: 1. Prepare all journal entries from issuance to maturity for journal entries. ance to...
The January 1, 2016 trial balance for the Tyrell Company is
found on the trial balance tab. The beginning balances are assumed.
Tyrell Co. entered into the following transactions involving
short-term liabilities in 2016 and 2017
Prepare the journal entries related to notes and
accounts payable.
The January 1, 2016 trial balance for the Tyrell Company is found on the trial balance tab. The beginning balances are assumed Tyrell Co. entered into the following transactions involving short-term liabilities in 2016...
Question2 Singh Limited purchased equipment costing $150,000 on October 1, 2016, by paying 10% down and signing an 8%, 9-month note payable for the balance. Solvency Limited's year end is December 31. a. Prepare journal entries to record the purchase of the equipment, the accrual of interest on December 31, and the payment of the note at maturity. For ease of computation assume that Solvency calculates interest expense based on the number of months, outstanding, rather than the number of...
The January 1, 2016 trial balance for the North Company is found on the trial balance tab. The beginning balances are assumed King Co. entered into the following transactions involving short-term liabilities in 2016 and 2017. (Use 360 days a year.) 2016 Apr. 20 Purchased $46,250 of merchandise on credit from Turner, terms are n/30. King uses the perpetual inventory system with paying $7,250 in cash. $117,000 May 19 Replaced the April 20 account payable to Turner with a 90-day,...
Problem 13-1 Bank loan; accrued interest (LO13-2) Blanton Plastics, a household plastic product manufacturer, borrowed $7 million cash on October 1, 2018, to provide working capital for year-end production. Blanton issued a four-month, 15% promissory note to L&T Bank under a prearranged short-term line of credit Interest on the note was payable at maturity. Each firm's fiscal period is the calendar year. Required: 1. Prepare the journal entries to record the issuance of the note by Blanton Plastics and (b)...
Tyrell Co. entered into the following transactions involving short-term liabilities in 2016 and 2017 2016 Apr. 20 Purchased $37,000 of merchandise on credit from Locust, terms n/30. Tyrell uses the perpetual May 19 Replaced the April 20 account payable to Locust with a 90-day, S35.000 note bearing 8% annual July 8 Borrowed $69,000 cash from NBR Bank by signing a 120-day, 10% interest-bearing note with a face inventory system. interest along with paying $2,000 in cash. value of $69, 000....
Most questions answered within 3 hours.
-
the figure below to the left shows a beaker completely filled
with water. then a block...
asked 25 seconds ago -
Research new software products that assist in project
communication management. Write a paper summarizing your findings,...
asked 2 minutes ago -
A certain rifle bullet has a mass of 5.25 g. Calculate the de
Broglie wavelength of...
asked 4 minutes ago -
what is the duistribution channels of HUL in india and how they
distribute?
how is this...
asked 7 minutes ago -
Batteries play an important role in our everyday lives. From
making many devices mobile, to allowing...
asked 19 minutes ago -
It is possible to iterate through an array quickly and easily
using a loop?
asked 27 minutes ago -
Determine the pHpH of an HFHF solution of each of the following
concentrations. The KAKA value...
asked 23 minutes ago -
Two point charges of 7.0mL are initially 11.5m apart. What is
the change in potential energy...
asked 24 minutes ago -
Please write as a short answer
You have heartburn and a two hour working session on...
asked 28 minutes ago -
Please solve with excel and mention the excel function.
Thanks
Kevin deposits $10,000 in a savings...
asked 30 minutes ago -
Which Special Journal would the following transaction be
journalized in?
Sold merchandise on account to Customer...
asked 42 minutes ago -
Assuming 100% dissociation, calculate the freezing point (?fTf)
and boiling point (?bTb) of 1.45 ? K3PO4(aq)1.45...
asked 44 minutes ago