On November 1, 2016 Branch Corporation converted a $10,000 account payable owing to Tree Corp. to a

Question:

On November 1, 2016 Branch converted a $10,000 account payable owing to Tree Corp. to a note payable bearing interest at 10% per year due on January 31, 2017.
Required:
1. Record the November 1, 2016 transaction in the records of Branch.
2. Record the adjusting entry needed on December 31, 2016.
3. Record the journal entry for the January 31 payment.
4. Record the above journal entries in the records of Tree Corp. Provide descriptions for journal entries. General ledger account numbers are not necessary.
Corporation
A Corporation is a legal form of business that is separate from its owner. In other words, a corporation is a business or organization formed by a group of people, and its right and liabilities separate from those of the individuals involved. It may...