ary 1, 2016, Stark Enterprises sold 12 iron suits to Wayne Company. In exchange for...
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Accounting
ary 1, 2016, Stark Enterprises sold 12 iron suits to Wayne Company. In exchange for the Stark received a note requiring payment of $600,000 by Wayne on December 31, 2018 suits, Stark Stark utilizes the effective interest method and the effective interest rate is 8% [12 points) Required a) How much sales revenue would Stark recognize on January 1, 2016, for this transaction? b.) Prepare journal entry(s) to record the sale of merchandise on January 1, 2016 (omit any entry that might be required for the cost of the goods sold) c) Prepare journal entry(s) to record the December 31, 2016 and 2017 interest accruals d.) Prepare journal entry(s) to record the receipt of payment of the note on December 31, 2018
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