Jernigan Co. receives $300,000 when it issues a $300,000, 10%, mortgage note payable to finance the construction
Question:
Jernigan Co. receives $300,000 when it issues a $300,000, 10%, mortgage note payable to finance the construction of a building at December 31, 2022. 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 payments.
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Date Account titles and explanation Debit Credit Dec 31 ...View the full answer
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Related Book For
Accounting Principles
ISBN: 9781119707110
14th Edition
Authors: Jerry J. Weygandt, Paul D. Kimmel, Jill E. Mitchell
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