Question

Journalize the following entries for (1) the buyer and (2) the seller. Record all entries for the buyer first.
201X
June 11 Lott Company sold $6,000 of merchandise on account to Radcliffe Company.
July 11 Lott Company received a 90-day, $4,000, 10% note for a time extension of past due account of Radcliffe Company.
Oct. 9 Collected the Radcliffe Company note on the maturity date.
Oct. 9 Assume Radcliffe Company defaulted on its July 11 note and record the dishonored note.
Oct. 15 Radcliffe Company paid the note receivable that was dishonored on October 9 (no additional interest is charged).



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  • CreatedApril 24, 2014
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