Consider the following transactions for Jo Jo Music. 2013 Dec. 6 Received a $ 7,000, 90-day, 12%

Question:

Consider the following transactions for Jo Jo Music.

2013

Dec. 6 Received a $ 7,000, 90-day, 12% note in settlement of an overdue accounts receivable from Dark Star Music.

31 Made an adjusting entry to accrue interest on the Dark Star Music note.

31 Made a closing entry for interest revenue.

2014

Mar. 6 Collected the maturity value of the Dark Star Music note.

Jun. 30 Loaned $ 11,000 cash to Love Joy Music, receiving a six- month, 11% note.

Oct. 2 Received a $ 2,400, 60-day, 11% note for a sale to Voice Publishing. Ignore cost of goods sold.

Dec. 1 Voice Publishing dishonored its note at maturity.

1 Wrote off the receivable associated with Voice Publishing. (Use the allowance method.)

30 Collected the maturity value of the Love Joy Music note.

Journalize all transactions for Jo Jo Music. Round all amounts to the nearest dollar. (For notes stated in days, use a 360-day year.)

Accounts Receivable
Accounts receivables are debts owed to your company, usually from sales on credit. Accounts receivable is business asset, the sum of the money owed to you by customers who haven’t paid.The standard procedure in business-to-business sales is that... Maturity
Maturity is the date on which the life of a transaction or financial instrument ends, after which it must either be renewed, or it will cease to exist. The term is commonly used for deposits, foreign exchange spot, and forward transactions, interest...