Entries for Discounting Notes Payable Ramsey Company issues an $800,000, 45-day note to Buckner Company for...

Transcribed Image Text:

Entries for Discounting Notes Payable Ramsey Company issues an $800,000, 45-day note to Buckner Company for merchandise inventory. Buckner discounts the note at 7%. Assume a 360-day year. If an amount box does not require an entry, leave it blank. a. Journalize Ramsey's entries to record: 1. 1. the issuance of the note. 2. the payment of the note at maturity. 2. b. Journalize Buckner's entries to record: 1. 1. the receipt of the note. 2. the receipt of the payment of the note at maturity. 2. Entries for Discounting Notes Payable Ramsey Company issues an $800,000, 45-day note to Buckner Company for merchandise inventory. Buckner discounts the note at 7%. Assume a 360-day year. If an amount box does not require an entry, leave it blank. a. Journalize Ramsey's entries to record: 1. 1. the issuance of the note. 2. the payment of the note at maturity. 2. b. Journalize Buckner's entries to record: 1. 1. the receipt of the note. 2. the receipt of the payment of the note at maturity. 2.

Answer rating: 100% (QA)

Answer a Journal entries for Ramsey Company Issuance of the note General Journal Date Account Debit ... View the full answer