On August 1, Year 1, Company A, an aeronautic electronics company, borrows $19.6 million cash to...

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On August 1, Year 1, Company A, an aeronautic electronics company, borrows $19.6 million cash to expand operations. The loan is made by Company B under a short-term line of credit arrangement. Company A signs a six-month, 9% promissory note. Interest is payable at maturity. Company A's year-end is December 31. Required: 1.-3. Record the necessary entries in the Journal Entry Worksheet below for Company A. (If no entry is required for a particular transaction/event, select "No Journal Entry Required" in the first account field. Enter your answers in dollars, not in millions (i.e. 5 should be entered as 5,000,000).) No Date General Journal Debit Credit 1 August 01 Notes Receivable X19,600,000 Cash 19,600,000 December 31 Interest Receivable 735,000 Interest Revenue 735,000 3 January 31 Cash X 20,482,000 X Interest Receivable 735,000 Interest Revenue X, 147,000 Notes Receivable 19,600,000 X *Red text indicates no response was expected in a cell or a formula-based calculation is incorrect; no points deducted. On August 1, Year 1, Company A, an aeronautic electronics company, borrows $19.6 million cash to expand operations. The loan is made by Company B under a short-term line of credit arrangement. Company A signs a six-month, 9% promissory note. Interest is payable at maturity. Company A's year-end is December 31. Required: 1.-3. Record the necessary entries in the Journal Entry Worksheet below for Company A. (If no entry is required for a particular transaction/event, select "No Journal Entry Required" in the first account field. Enter your answers in dollars, not in millions (i.e. 5 should be entered as 5,000,000).) No Date General Journal Debit Credit 1 August 01 Notes Receivable X19,600,000 Cash 19,600,000 December 31 Interest Receivable 735,000 Interest Revenue 735,000 3 January 31 Cash X 20,482,000 X Interest Receivable 735,000 Interest Revenue X, 147,000 Notes Receivable 19,600,000 X *Red text indicates no response was expected in a cell or a formula-based calculation is incorrect; no points deducted.

Answer rating: 100% (QA)

No Date General Journal Debit Credit 1 Aug 1 Cash 19600000 Note payable 19600000 2021 To ... View the full answer