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Lena [83]
3 years ago
5

Pay the first monthly installment of $2,011 related to the $104,000 long-term note payable borrowed in january 1. Round your int

erest calculation to the nearest dollar
Business
1 answer:
Alexus [3.1K]3 years ago
8 0

The journal entry for the first monthly installment of $2,011 for a $104,000 debt is:

Date             Account title                                       Debit                Credit

                    Note payable                                   $1,491

                    Interest                                              $520

                    Cash                                                                           $2,011

<h3>What is the interest on the payment?</h3>

The interest is:

= 104,000 x 6%/12 months in year

= $504

The note payable principal repayment will be:

= 2,011 - 520

= $1,491

Find out more on note payable repayment at brainly.com/question/25898631.

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