(AICPA Adapted) Remarkable Company had the following account balances on January 1, 2020 7,500,000 Note receivable from...
Question:
(AICPA Adapted) Remarkable Company had the following account balances on January 1, 2020 7,500,000 Note receivable from sale of an idle building 2,000,000 + The notes receivable Note receivable from an officer The P7,500,000 note receivable is dated May 1, 2019, bears P1, 000,000 note dated interest at 9% and represents the balance of the consideration and interest payable on received from the sale of an idle building to Solid Company. Principal payments of P2,500,000 plus interest are due annually beginning May 1, 2020. Solid Company any made the PB,000, 000 note dated M first principal and interest payment on May 1, 2020. 8%% interest payable on The P2,000,000 note receivable is dated December 31, 2017, bears interest at 8% and is due on December 31, 2022. * During 2021, sales P18,000,000 cash was The note is due from the president of Remarkable Company. Interest is payable annually on December 31 and all interest accounts receivable of P payments were made through December 31, 2020. were made on a credit On July 1, 2020, Remarkable Company sold a parcel of land to Boom Company for P4,000,000 under an installment sale * Doubtful accounts expe contract. adjusting the allowance Boom Company made a P1,200,000 cash down payment on 10% of year end accou July 1, 2020, and signed a 4-year 10% note for the P2,800,000 balance. 1. What amount should The equal annual payments of principal and interest on the 2021? note totaled P880,000, payable on July 1 of each year from 2020 through 2024. a 110,000 The fair value of the land at the date of sale was P4,000,000. b. 240,000 The cost of the land was P3,000,000.
C. 60,000 Required: eden afridisveno'ed
d. 80,000 1. Determine the amount of notes receivable including accrued interest that should be classified as current 2. What amount should asset on December 31, 2020. expense for 20217 Determine the amount of notes receivable that should be 2. 750,000 classified as non-current asset on December 31, 2020. C. 850 000 178 2. 100 090
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