90.2K

Verified Solution

Link Copied!

Solve ASAP!!!

Following are transactions of Danica Company.

December $13$ Accepted a $$28,000,45-$day, $10\%$ note in granting Miranda Lee a time extension on her past$-$due account receivable.

December $31$ Prepared an adjusting entry to record the accrued interest on the Lee note.

Complete the table to calculate the interest amounts at December $31$st and use the calculated value to prepare your journal entries.

Note: Do not round your intermediate calculations. Use $360$ days a year. $\begin{array}{cc}\text{I}\text{n}\text{t}\text{e}\text{r}\text{e}\text{s}\text{t}& \text{A}\text{m}\text{o}\text{u}\text{n}\text{t}\text{s}\end{array}$

$\begin{array}{cc}\text{G}\text{e}\text{n}\text{e}\text{r}\text{a}\text{l}& \text{J}\text{o}\text{u}\text{r}\text{n}\text{a}\text{l}\end{array}$

Complete the table to calculate the interest amounts at December ${31}^{st}.$

$\backslash$table$[[,\backslash$table$[[$Total Through$],[$Maturity$]],\backslash$table$[[$Interest$],[$Recognized$],[$December $31]]],[$Principal$,,],[$Rate $(\%),,],[$Time$,,],[$Total interest,,$]]$ Use the calculated value to prepare your journal entries.

Journal entry worksheet

Record acceptance of a $$28,000,45-$day, $10\%$ note in granting Miranda Lee a

time extension on her past$-$due account receivable.

Note: Enter debits before credits. $\backslash$table$[[$Interest$,\backslash$table$[[$General$],[$Journal$]]]]$

Use the calculated value to prepare your journal entries.

Journal entry worksheet

$1$

Prepare an adjusting entry to record the accrued interest on the Lee note.

Note: Enter debits before credits.

$\backslash$table$[[$Date$,$General Journal,Debit,Credit$],[$December $31,,,],[,,,],[,,,],[,,,],[,,,]]$

Show all imagesShow all images

Answer & Explanation Solved by verified expert

See Answer