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
puteri [66]
3 years ago
11

On January 1, 2015, Johnson Company purchased a delivery truck for $72,000, paying $7,200 cash and financing the rest with a 4 y

ear, 5% note, with monthly payments of $1,411.
Required:

a. Complete the loan amortization schedule below for the payments made on February 1 and March 1.
b. Prepare the journal entry for the purchase on January 1.
c. Prepare the journal entry for the 2nd loan payment on March 1
Business
1 answer:
Kaylis [27]3 years ago
5 0

Answer and Explanation:

The computation is shown below:

a. Amortization schedule

<u>Date       Payment          Interest          Principal      Loan Balance</u>

Jan 1                                                                          $64,800

                                                                                ($72,000 - $7,200)

Feb 1           $1,411            $270             $1,141            $63,659

                          ($64,800 × 5% ÷ 12)

Mar 1           $1,411           $265             $1,146            $62,513

                             ($63,659 × 5% ÷ 12)

b. The journal entry is

Truck - equipment Dr $72,000

        To cash  $7,200

         To Note payable $64,800

(Being the purchase is recorded)

c. The journal entry is

Note payable $1,146

Interest expense $265

        To Cash $1,141

(Being loan payment is recorded)

You might be interested in
What is the maximum IRA contribution that Mr. Janson can make under each of the following assumptions? He is age 20 and single.
vladimir1956 [14]

Answer:

He is age 20 and single. His only income item is $12,100 interest from a trust fund. NO CONTRIBUTION SINCE HE HAS NO EARNED INCOME

He is age 40 and single. His only income item is a $34,900 share of ordinary income from a partnership. MAXIMUM CONTRIBUTION OF $6,000

He is age 60 and single. His only income item is $21,300 wages from his job. MAXIMUM CONTRIBUTION OF $7,000

He is age 46 and files a joint return with his wife. His sole proprietorship generates a $7,790 loss, and his wife’s salary is $46,700. MR. JANSON CANNOT CONTRIBUTE ANY MONEY TO THE IRA ACCOUNT, BUT HIS WIFE CAN CONTRIBUTE $6,000 ON HER ACCOUNT AND $6,000 ON MR. JANSON'S ACCOUNT.

Explanation:

In 2019, the limit for RA contributions increased by $500 to:

  • under age 50 ⇒ $6,000 per year
  • over age 50 ⇒ $7,000 per year

only earned income can be contributed

you cannot contribute more than what you earn

8 0
3 years ago
Read 2 more answers
If you know the company that you want to work for, you should check theon the company’s website as you perform your job search.
Alex73 [517]

well... this is a statment not a question so it doesnt really make snce but yes you should research the company

3 0
3 years ago
An employer interviews 150 qualified applicants, 100 white and 50 hispanic. if 25 whites are hired, what is the least number of
Tpy6a [65]
The answer is 10 Hispanics. :)
8 0
3 years ago
A company uses specially configured workstations for any work that requires administrator privileges to its Tier 0 and Tier 1 sy
LiRa [457]

A downgrade attack might occurs in root cause appears to be that SoC was tampered with or replaced.

A downgrade attack, also known as a bidding-down attack or version rollback attack, is a type of cryptographic attack that forces a computer system or communications protocol to switch from a modern, high-quality mode of operation to an older, lower-quality mode that is typically provided for backward compatibility with older systems. An illustration of such a problem was discovered in OpenSSL, which let the attacker to convince the client and server to use a less secure version of TLS. One of the most prevalent downgrade assaults is this one. Due to their inherent fallback to unencrypted communication, opportunistic encryption technologies like STARTTLS are typically vulnerable to downgrade attacks.

learn more about downgrade attack here

brainly.com/question/27959974

#SPJ4

8 0
1 year ago
Bonds with a face amount $1,000,000, are sold at 96. The entry to record the issuance is
laiz [17]

Answer:

Option C is correct

Explanation:

The cash proceeds from the bond issuance is 96% of its face value i.e 96%*$1,000,000=$960,000

The discount on bonds payable=Face value-cash proceeds

The discount on  bonds payable=$1,000,000-$960,000=$40,000

The appropriate entries would be to credit bonds payable with $1000,000 while cash and discount on bonds payable are debited with $960,000 and $40,000 respectively

8 0
3 years ago
Other questions:
  • Plus Company uses the estimate of receivables method of accounting for uncollectible accounts. Plus Co. estimates that $4412 of
    11·1 answer
  • Which of the following is an advantage of the interacting group decision-making method? a.Interaction among people can spark new
    9·1 answer
  • The U.S. dollar exchange rate increased from ​$0.89 Canadian in June 2009 to ​$0.96 Canadian in June 2010​, and it decreased fro
    5·1 answer
  • The rental income generated by a lease can depend significantly on the proportion of property-level operating expenses paid by t
    12·1 answer
  • Which one of these statements is correct? Multiple Choice All allocated costs should be included in the initial cost of a projec
    8·1 answer
  • In BCG portfolio analysis, products in low-growth markets that have received heavy investment and now have excess funds availabl
    15·1 answer
  • In 2013 the national retailer target corporation suffered a major data breach that put at risk the financial information of an e
    10·1 answer
  • Journalizing Sales, Sales Returns and Allowances, and Cash Receipts
    14·1 answer
  • What are hollow corporations? A. companies that market their products through franchisees B. companies that outsource all produc
    9·1 answer
  • What are capital gains on an investment.
    15·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!