Yancey Co. receives $300,000 when it issues a $300,000, 10%, mortgage note payable to finance the construction

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Yancey Co. receives $300,000 when it issues a $300,000, 10%, mortgage note payable to finance the construction of a building at December 31, 2017. The terms provide for annual installment payments of $50,000 on December 31.

Instructions

Prepare the journal entries to record the mortgage loan and the first two installment payments.

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Accounting Tools for Business Decision Making

ISBN: 978-1118096895

6th edition

Authors: Paul D. Kimmel, Jerry J. Weygandt, Donald E. Kieso

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Question Posted: Aug 24, 2016 01:59 AM

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Yancey Co. receives $300,000 when it issues a $300,000, 10%, mortgage note payable to finance the construction

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Issuance of Note 2017 Dec 31 Cash 300000 Mortgage Paya...View the full answer

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