On March 1, 2025, Parnevik Company sold goods to Goosen Inc. for $660,000 in exchange for a
Question:
On March 1, 2025, Parnevik Company sold goods to Goosen Inc. for $660,000 in exchange for a 5-year, zero-interest-bearing note in the face amount of $1,062,937 (an inputed rate of 10%). The goods have an inventory cost on Parnevik’s books of $400,000. Prepare the journal entries for Parnevik on
(a) March 1, 2025, and
(b) December 31, 2025.
Step by Step Answer:
Parnevik should record revenue of 660000 on March 1 2025 which is the fa...View the full answer
Intermediate Accounting
ISBN: 9781119790976
18th Edition
Authors: Donald E. Kieso, Jerry J. Weygandt, Terry D. Warfield
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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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