Actual means the real selling price for the product paid by the customer whereas proposed selling price is the price which was suggested to be set for the product.
Answer:
B
Explanation:
A is valid but i would be more worried about B when editing C and D say to fix something but it never says anything is wrong so the wording makes those answers wrong/very highly unlikely
Answer:
Entries are shown below.
Explanation:
To record the journal entries, we first need to calculate interest payment and principal as per the present value. This is done below:
PV Factor Present Value
Interest Payment $6,400 1.7125 $10,960
Principal $80,000 0.8116 $64,928
$75,888
<u>Journal Entries</u>
Date Particular Debit ($) Credit ($) Working
Jan 1, 2020 Note Receivable 80,000
Discount on Receivable 4,112
Land 75,888
Dec 31, 2020 Cash 6,400
Discount on Receivable 1,948 (8348-6400)
Interest Revenue 8,348 (75888*11%)
Dec 31, 2021 Cash 6,400
Discount on Receivable 2,162 (4279-3600)
Interest Revenue 8,562
(75888+1,948)*11%
Dec 31, 2021 Cash 80,000
Notes Receivable 80,000
Answer:
I believe it it the second option.
Explanation:
Answer:
d. $1,400.
Explanation:
The computation of the gain on sale of debt investment is shown below:
Gain on sale of debt investment = Sale price - purchase price
where,
Sale price = $32,000 - $300 = $31,700
And, the purchase price is
= (60,000 + $600) × 30 days ÷ 360 days
= $30,300
Now the gain on sale of debt investment is
= $31,700 - $30,300
= $1,400
