Pom Computers borrows HK$60,000 on July 1 from the bank by signing a HK$60,000, 10%, one-year note
Question:
Pom Computers borrows HK$60,000 on July 1 from the bank by signing a HK$60,000, 10%, one-year note payable (amounts in thousands).
a. Prepare the journal entry to record the proceeds of the note.
b. Prepare the journal entry to record accrued interest at December 31, assuming adjusting entries are made only at the end of the year.
Step by Step Answer:
July 1 Cash 60000 Notes Payable 6...View the full answer
Accounting Principles
ISBN: 978-1119419617
IFRS global edition
Authors: Paul D Kimmel, Donald E Kieso Jerry J Weygandt
Related Video
A journal entry is an act of keeping or making records of any transactions either economic or non-economic. Transactions are listed in an accounting journal that shows a company\'s debit and credit balances. The journal entry can consist of several recordings, each of which is either a debit or a credit
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