Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. on january 1, 2018, wright transport sold four sch

On January 1, 2018, Wright Transport sold four school buses to the Elmira School District....

70.2K

Verified Solution

Question

Accounting

image
On January 1, 2018, Wright Transport sold four school buses to the Elmira School District. In exchange for the buses, Wright received a note requiring payment of $523,000 by Elmira on December 31, 2020. The effective interest rate is 6%. (EV of$1, PVofSLEVAof $1, PVA of $1, FVAD of $1 and PVAD of $1) (Use appropriate factor(s) from the tables provided.): Required: 1. How much sales revenue would Wright recognize on January 1, 2018, for this transaction? 2. Prepare journal entries to record the sale of merchandise on January 1, 2018 (omit any entry that might be required for the cost of the goods sold), the December 31, 2018, interest accrual, the December 31, 2019, interest accrual, and receipt of payment of the note on December 31, 2020. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Prepare journal entries to record the sale of merchandise on January 1, 2018 (omit any entry t cost of the goods sold), the December 31, 2018, interest accrual, the December 31, 2019, inte payment of the note on December 31, 2020. (If no entry is required for a transaction/event, s required" in the first account field. Do not round intermediate calculations and round your final number.)

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Q

1. Find the local maxima of the function: (1) f(x,y) = xy, subject to the constraint...

Basic Math
Q

The alkalinity of natural waters is usually controlled by OH- , CO3 2- , and HCO3...

Chemistry
Q

(i) Find the rate of change of the function f(x) = (x + 2)/( 1...

Advance Math
Q

a b x4 3x 1 2x 4x 6

Algebra
Q

The following information relates to a firm which manufactures and sells widgets. (a) Using the...

Accounting
Q

PROBLEM: P Company owns 60% of the outstanding common stock of S Company....

Accounting
Q

What policy tools does the Bank of Canada use to control the money supply? Which...

Accounting
Q

QUESTION 1 The city of Charleston had the following sales of water for the selected...

Accounting
Q

Prepare a comparative income statement for these two years in vertical form, stating each item...

Accounting
Q

Hired an administrative assistant to be paid $2,055 on the 20th day of each month....

Accounting
Q

Assume that you are going to receive $500,000 in 10 years. The current market rate...

Accounting
Q

B2B Co. is considering the purchase of equipment that would allow the company to add...

Accounting