On March 1, fixtures and equipment were purchased for $5,000 with a downpayment of $2,000...
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Accounting
On March 1, fixtures and equipment were purchased for $5,000 with a downpayment of $2,000 and a $3,000 note, payable in one year. Interest of 6% per year was due when the note was repaid. The estimated life of the fixtures and equipment is 9 years with no expected salvage value. [Note: Record the complete March 1 entry for the equipment purchase first, the complete March 31 depreciation adjusting entry second, and the complete March 31 interest adjusting entry third.] Account: Cash Dollar amount: -2000 Account: Fixtures and Equipment V Dollar amount: 5000 Account: Notes Payable Dollar amount: 3000 Account: Fixtures and Equipment Dollar amount: Account: Retained Earnings Dollar amount: Account: Interest Payable Dollar amount: Account: Retained Earnings V Dollar amount: Account: Leave Blank Dollar amount
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