On the first day of the fiscal year, a company issues $45,000, 8%, six-year installment notes that

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On the first day of the fiscal year, a company issues $45,000, 8%, six-year installment notes that have annual payments of $9,734. The first note payment consists of $3,600 of interest and $6,134 of principal repayment.

a. Journalize the entry to record the issuance of the installment notes.

b. Journalize the first annual note payment.

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Corporate Financial Accounting

ISBN: 978-1133952411

12th edition

Authors: Carl S. Warren, James M. Reeve, Jonathan E. Duchac

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Question Posted: Feb 28, 2014 08:43 AM

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On the first day of the fiscal year, a company issues $45,000, 8%, six-year installment notes that

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Corporate Financial Accounting

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