1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Bess [88]
3 years ago
5

Sweet, Inc. issued a $140,000, 4-year, 12% note at face value to Flint Hills Bank on January 1, 2017, and received $140,000 cash

. The note requires annual interest payments each December 31.
Required:
Prepare Coldwell's journal entry record:

a. the issuance of the note
b. the December 31 interest payment.
Business
1 answer:
Lubov Fominskaja [6]3 years ago
8 0

Answer:

The double entry is given below alongwith its explanation

Explanation:

<u>On January 1, 2017</u>, the receipt of money by the issuance of the 12% note would be recorded as increase in liability which would be credited and increase in cash receipt is increase in asset which must be debited. The entry to record the issuance of note is as under:

Dr Cash   $140,000

Cr Loan Note $140,000

<u>On December 31, 2017</u>, the Payment of interest of 12% on note would be recorded as increase in expense which must be debited and decrease in cash due to payment is decrease in asset and it must be credited. The entry to record the payment of interest is as under:

Dr Interest Expense $16,800

Cr Cash Account             $16,800

You might be interested in
The BRAC anti-poverty program in Bangladesh gave poor families training on how to raise livestock, a savings account, and help w
max2010maxim [7]

Answer:

A. Education, savings, and human capital, respectively.

8 0
3 years ago
Bravo inc owns 20,000 of the 40,000 outstanding shares of bello, inc. common stock. During 2021, Bello earns 1,200,000 and pays
stealth61 [152]

Answer:

the  ending balance of the investment account is $870,000

Explanation:

The computation of the ending balance of the investment account is shown below:

= Beginning balane + [(earns - dividend) × (owns shares ÷total shares)]

= $750,000 + [($1,200,000 - $960,000) × (20,000 ÷ 40,000)]

= $750,000 + $120,000

= $870,000

Hence, the  ending balance of the investment account is $870,000

4 0
3 years ago
EZBiz, the brainchild of three college friends, is a startup venture that plans to produce and market sports gear. The venture i
Elden [556K]

Answer:

B) The public is wary of sharing confidential information after a recent spate of credit card scandals.

Explanation:

There are several advantages of click-only companies, especially that they are able to offer lower prices since they don't need to support the costs of brick-and-mortar stores.

But the whole idea of selling through the internet is based on the customers' trust on new technologies and they specially dislike when the new technologies fail, e.g. when a hacker discloses the accounts and passwords of millions of users.

4 0
3 years ago
Dialogue with a goal of helping another be more effective and achieve his or her full potential on the job is referred to as
Aloiza [94]

Answer:

Dialogue with a goal of helping another be more effective and achieve his or her full potential on the job is referred to as coaching.

3 0
3 years ago
Melanie has a balance of $1700 on a credit card with an apr of 24.2%, compounded monthly. about how much will she save in intere
slamgirl [31]
She will save about $267.27 ($2160.24 - $1892.97) in interest over the course of a year if she transfers her balance to a credit card with an apr of 10.8%, compounded monthly. This problem can be solved using the compounding interest formula which stated as A = P*(1+i)^n. A is the amount affected by the compounding interest, i is the interest rate, and n is the period of time. You must find the amount using the 24.2% and 10.8% compounding interest and find the difference between them.
4 0
3 years ago
Read 2 more answers
Other questions:
  • Nicholas Manufacturing just announced yesterday that its fourth quarter earnings will be 10% higher than last year's fourth quar
    13·1 answer
  • $26 per share is the current price for Foster Farms' stock. The dividend is projected to increase at a constant rate of 7.00% pe
    10·1 answer
  • This problem has been solved! See the answer In September of 1998, your father purchased a Michael Jordan basketball card for $0
    5·1 answer
  • Which of the following would be covered by a home insurance policy?
    5·1 answer
  • Tom and Mark tell Susan that they are considering expanding store hours and advertising. They wish to concentrate their efforts
    13·1 answer
  • The Reid Co. acquired a piece of land for a new factory paying $100,000. Reid demolished the old building at a cost of $20,000,
    7·2 answers
  • Read the following business-writing scenario. Then use what Chapter 5 says about choosing appropriate words to answer the questi
    5·1 answer
  • John has the following transactions for the year: Cash received from sales of products $120,000 Cash paid for expenses (except r
    8·1 answer
  • Please help!!!!!!!!!!!
    12·1 answer
  • Two securities have a covariance of 0.022. If their correlation coefficient is 0.52 and one has a standard deviation of 15%, wha
    15·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!