Home Center Warehouse issues a 90-day note for $250,000 to Gem Lighting Co. for merchandise inventory. Gem
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Home Center Warehouse issues a 90-day note for $250,000 to Gem Lighting Co. for merchandise inventory. Gem Lighting Co. discounts the note at 5%.
a. Journalize Home Center Warehouse's entries to record:
1. The issuance of the note.
2. The payment of the note at maturity.
b. Journalize Gem Lighting Co.'s entries to record:
1. The receipt of the note.
2. The receipt of the payment of the note at maturity.
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Related Book For
Accounting
ISBN: 978-0324401844
22nd Edition
Authors: Carl S. Warren, James M. Reeve, Jonathan E. Duchac
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