On July 1, 2017, Rogers Corp. took out a 60-day, $100,000 loan at the bank. On July
Question:
On July 1, 2017, Rogers Corp. took out a 60-day, $100,000 loan at the bank. On July 31, 2017, Rogers made the following adjustment:
Required
1. What is the interest rate on the loan? Explain your answer.
2. Identify and analyze the transaction on Rogers Corp.'s books on August 31, 2017, when the company repays the principal and interest on the loan.
Transcribed Image Text:
tinr and ACTIVITY: Operating ACCOUNTS: Interest Payable Increase Interest Expense Increase Balance Sheet Income Statement = LIABILITIES + STOCKHOLDERS. (500) NET ASSETS - OUIIY REVENUES EXPENSESINCOME Interest Interest Payable 500 Expense 500
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 70% (10 reviews)
1 The interest rate on the loan is the monthly interest ...View the full answer
Answered By
Muhammad Umair
I have done job as Embedded System Engineer for just four months but after it i have decided to open my own lab and to work on projects that i can launch my own product in market. I work on different softwares like Proteus, Mikroc to program Embedded Systems. My basic work is on Embedded Systems. I have skills in Autocad, Proteus, C++, C programming and i love to share these skills to other to enhance my knowledge too.
3.50+
1+ Reviews
10+ Question Solved
Related Book For
Using Financial Accounting Information The Alternative to Debits and Credits
ISBN: 978-1337491471
10th edition
Authors: Gary A. Porter, Curtis L. Norton
Question Posted:
Students also viewed these Accounting questions
-
On July 1, 2016, Rogers Corp. took out a 60-day, $100,000 loan at the bank. On July 31, 2016, Rogers made the following adjusting entry: 1. What is the interest rate on the loan- Explain your answer....
-
On July 1, 2012, Rogers Corp. took out a 60-day, $100,000 loan at the bank. On July 31, 2012, Rogers made the following adjustment: Required 1. What is the interest rate on the loan? Explain your...
-
On July 1, 2014, Rogers Corp. took out a 60-day, $100,000 loan at the bank. On July 31, 2014, Rogers made the following adjusting entry: Required 1. What is the interest rate on the loan? Explain...
-
The cable of the 1800 kg elevator cab in Figure snaps when the cab is at rest at the first floor, where the cab bottom is a distance d = 3.7 m above a spring of spring constant k = 0.15 MN/m. A...
-
Jason Bradley and Abdul Barak, with capital balances of $26,000 and $35,000, respectively, decide to liquidate their partnership. After selling the noncash assets and paying the liabilities, there is...
-
In Exercises 916, use the formula for n C r to evaluate each expression. 5 C 0
-
Calculate the water flow rate in the system shown in Fig. P8.92. The piping system includes four gate valves, two half-open globe valves, fourteen \(90^{\circ}\) regular elbows, and \(250...
-
Wilken's Sandwich Shop maintains three separate menus for breakfast, lunch, and dinner. Gross margin computations for the three menu lines for 2012 are as follows:
-
Locklear Partners started a new business on July 1, 2021. That same day, Locklear Partners also received $90,000 of cash from issuing common stock and borrowed $80,000 from a friend. On July 1, 2021...
-
Frankel Ltd., a British merchandising company, is the exclusive distributor of a product that is gaining rapid market acceptance. The companys revenues and expenses (in British pounds) for the last...
-
Billings Company takes out a 12%, 90-day, $100,000 loan with First National Bank on March 1, 2017. Required 1. Identify and analyze the transaction to take out the loan on March 1, 2017. 2. Identify...
-
Glendive takes out a 12%, 90-day, $100,000 loan with Second State Bank on March 1, 2017. Assume that Glendive prepares adjustments only four times a year: on March 31, June 30, September 30, and...
-
In Exercises the limit represents '(c) for a function and a number c. Find and c. 9 - X 98 + zx- x-6 lim
-
How can you collect and analyse information about local services in order to recognise the advantages and disadvantages of available service options, as well as their potential contribution to the...
-
Sheng is planning his cash flow for the three months January to March 2021. Information about his revenues and costs is available. Sheng will have a bank balance of $5 284 on 1 January 2021. Sales...
-
A company estimates 16,500 units of a new product could be sold annually over the next 8 years at a price of $23,500 each. Variable cost per unit is $19,700 and fixed costs total $31 million per...
-
4) Find the solution of the differential equation. dx dt + 9x + 12 sin 3t = : 0, t 0 with x = 1, dx dt = 2 at t = 0. [10 marks]
-
Wilson Inc. uses process costing. Its Sanitizing Department had no beginning Work in Process inventory, though it added materials of $120,000 and conversion costs totaling $160,000 during May....
-
Repeat the analysis that led to eq. (3.40) for a load with impedance described by a power factor cos ?.Show that the fraction of power lost compared to real power consumed in the load is...
-
From the choice of simple moving average, exponential smoothing, and linear regression analysis, which forecasting technique would you consider the most accurate? Why? please write it in word...
-
Accounts and Notes Receivable Linus Corp. sold merchandise for $5,000 to C. Brown on May 15, 2010, with payment due in 30 days. Subsequent to this, Brown experienced cash flow problems and was unable...
-
Allowance Method for Accounting for Bad Debts At the beginning of 2010, Miyazaki Companys accounts receivable balance was $105,000, and the balance in Allowance for Doubtful Accounts was $1,950....
-
Using an Aging Schedule to Account for Bad Debts Rough Stuff is a distributor of large rocks. It sells on credit to commercial landscaping companies and extends terms that require customers to pay in...
-
Prob. 1(a). Consider a stock currently trading at $40.25. For a strike price of $38, you want to price both a call and put option that matures 90 days from now. The volatility of the stock (2) is...
-
Wildhorse sells a snowboard, WhiteOut, that is popular with snowboard enthusiasts. Presented below is information relating to Wildhorse's purchases of WhiteOut snowboards during September. During the...
-
The following unadjusted trial balance is prepared at fiscal year-end for Nelson Company. Nelson Company uses a perpetual inventory system. It categorizes the following accounts as selling expenses:...
Study smarter with the SolutionInn App