On January 1, 2017, Metlock Inc borrowed and received $320,000 from a major customer, Sarasota Corp The debt is evidenced by a zero interest bearing note due in 4 years Metlock, as consideration for the zero interest bearing feature of the note, agrees that it will supply inventory to Sarasota for the loan period at a below market price The appropriate rate at which to impute interest is 9%
(a)

Prepare the journal entry to record the initial transaction on January 1, 2017. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.)

Account Titles and Explanation	Debit	Credit
enter an account title	enter a debit amount	enter a credit amount
enter an account title	enter a debit amount	enter a credit amount
enter an account title	enter a debit amount	enter a credit amount
enter an account title	enter a debit amount

Answer rating: 100% (QA)

A C D E F G 1 Date Accounts title and Explanation Debit ... View the full answer