On January 1, 2019, Crouser Company sold land to Chad Company, accepting a 2-year, $150,000,...
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Accounting
On January 1, 2019, Crouser Company sold land to Chad Company, accepting a 2-year, $150,000, non-interest-bearing note due January 1, 2021. The fair value of the land was $123,966.90 on the date of sale. The company purchased the land for $105,000 on January 1, 2013.
Required:
Prepare all the journal entries on Crousers books for January 1, 2019, through January 1, 2021, in regard to the Chad note.
CHART OF ACCOUNTS
Crouser Company
General Ledger
ASSETS
111
Cash
121
Accounts Receivable
125
Notes Receivable
141
Inventory
152
Prepaid Insurance
162
Discount on Notes Receivable
171
Land
181
Equipment
189
Accumulated Depreciation
LIABILITIES
211
Accounts Payable
231
Salaries Payable
250
Unearned Revenue
261
Income Taxes Payable
EQUITY
311
Common Stock
331
Retained Earnings
REVENUE
411
Sales Revenue
431
Interest Income
436
Gain on Sale of Land
EXPENSES
500
Cost of Goods Sold
511
Insurance Expense
512
Utilities Expense
521
Salaries Expense
532
Bad Debt Expense
540
Interest Expense
541
Depreciation Expense
559
Miscellaneous Expenses
910
Income Tax Expense
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