Jellybean Inc. had the following transactions: August 12 - signed a 7%, 50-day note for $12,500...

 

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Jellybean Inc. had the following transactions: August 12 - signed a 7%, 50-day note for $12,500 with Ague Corp. September 20 - signed a 9%, 120-day note for $30,000 with Horace Enterprises. October 1 pad the balance owing to Ague. • December 17 - signed a 6%, 30-day note for $15,200 with Lulu Company. 1. Record the journal entries for the above transactions. 2. Record the accrual of interest, assuming a December 31 year-end. 3. Record the payment of the Horace and Lulu notes on the correct dates. Jellybean Inc. had the following transactions: August 12 - signed a 7%, 50-day note for $12,500 with Ague Corp. September 20 - signed a 9%, 120-day note for $30,000 with Horace Enterprises. October 1 pad the balance owing to Ague. • December 17 - signed a 6%, 30-day note for $15,200 with Lulu Company. 1. Record the journal entries for the above transactions. 2. Record the accrual of interest, assuming a December 31 year-end. 3. Record the payment of the Horace and Lulu notes on the correct dates.

Answer rating: 100% (QA)

1 Journal Entries a August 12 Notes Payable 12500 Cash 12500 b September 20 Notes Paya... View the full answer