There was a sale of inventory with a $1,250,000 note receivable created on January 2, 2020...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
There was a sale of inventory with a $1,250,000 note receivable created on January 2, 2020 on the following terms: Blended payments of principal and interest of 4% over 6 years with the first payment due on December 31, 2020. The customer's incremental borrowing rate is 7%. The company's incremental borrowing rate is 5%. The entry to record the initial transaction was to debit Notes Receivable and credit revenue for $1,250,000. The first payment was received at year-end and was credited to the Notes Receivable Account Required: Prepare the adjusting journal entries to adjust the notes receivable/revenue account at December 31, 2020. There was a sale of inventory with a $1,250,000 note receivable created on January 2, 2020 on the following terms: Blended payments of principal and interest of 4% over 6 years with the first payment due on December 31, 2020. The customer's incremental borrowing rate is 7%. The company's incremental borrowing rate is 5%. The entry to record the initial transaction was to debit Notes Receivable and credit revenue for $1,250,000. The first payment was received at year-end and was credited to the Notes Receivable Account Required: Prepare the adjusting journal entries to adjust the notes receivable/revenue account at December 31, 2020.
Expert Answer:
Related Book For
Posted Date:
Students also viewed these accounting questions
-
A certain man has a far point of 150 cm. (a) What power must contact lenses have to allow him to see distant objects clearly? (b) If he is able to read a newspaper at 25 cm while wearing his...
-
A plumber steps out of his truck, walk 50m east and 25m south, and then takes an elevator 10m down into the subbasement of a building where a bad leak is occurring. What is the displacement of the...
-
A man was hired to drive a bus transporting persons with physical and mental disabilities. The hiring was conditional on the successful completion of a criminal background check. The transportation...
-
Write a program, in Java, to convert from binary to decimal andfrom from binary to hexadecimal. Please use instance variables,preferably strings. The program must do the conversion withoutusing any...
-
a.-c. Repeat Problem 1 using log10(dry weight) as the response. Problem 1 Consider the data of Problem 1, Chapter 5. For the model with dry weight as the response and age as the predictor, a. Examine...
-
Suppose that total factor productivity, z, affects the productivity of government production just as it affects private production. That is, suppose that when the government collects taxes, it...
-
Assume the same information as in question 4. Also assume that beginning work in process had \($6,000\) in conversion cost and that \($84,000\) in conversion is added during this period. What is the...
-
Following is the current balance sheet for a local partnership of doctors: The following questions represent independent situations: a. E is going to invest enough money in this partnership to...
-
Create a relational model for the following ERD. Please do not develop a graphical version of the relational databases. Please just list the tables, attributes, primary keys and foreign keys. Dept...
-
The proposed rates were not in the range the CEO expected given the pricing analysis. The CEO has asked the pricing actuary to verify the total projected loss cost excluding potential large storm...
-
Create a program that will read a list of names from a file called myFriends.txt - output a message (on screen) saying "My friends are" Joe, John, Candy and Jerry and then output "End of list" when...
-
Monkey Shines Ltd . , a Canadian public corporation, owns equipment for which the following year - end information is available: Carrying amount ( book value ) . . . . . . . . . . . . . . . . . . . ....
-
Assume the exchange rate is defined as f/$. What is the real exchange rate? If there is and appreciation of the $, what happens to the price of foreign goods measured in dollars and of US goods...
-
1.A family desires to have 300,000 available for a daughters college expenses in 20 years. If 8% can be earned on the invested capital, what is the starting amount today? a. $64,364 b. $100,916 c....
-
Let V = (v1,..., Vn) be a family of vectors in R Furthermore, (,) denotes that canonical dot product. Then the elements gij of the Gram's matrix G are by means Bij = (vi, vj) Are defined. The...
-
Please help figuring out this exercise getting market data for two bonds belonging to United Parcel Service and Fedex. Go to FINRA's website...
-
Is there any way to predict when a specific piece of candy will land marked side up, or "decayed"? If you could follow the fate of an individual atom in a sample of radioactive material, could you...
-
Why is the national security argument for tariffs questionable?
-
A person with nearsightedness wishes to switch from regular glasses to contact lenses. Should the contact lenses have a stronger or a weaker prescription than the glasses? Explain.
-
Two parallel slits are illuminated with monochromatic light, and an interference pattern is observed on a screen. (a) If the distance between the slits were decreased, would the distance between the...
-
A certain object with a surface temperature of 100oC is radiating heat at a rate of 200 J/s. To double the objects rate of radiation energy, what should be its surface temperature in Celsius?
-
Answer the following questions: 1. Name at least five industries that might be affected by weather. 2. Is it appropriate for the forensic accountant/fraud examiner to examine the effect of weather?...
-
Discuss why collusive frauds, especially when perpetrated among related parties, is particularly difficult to detect?
-
In what year was the original company formed?
Study smarter with the SolutionInn App