Entries for notes payable

Bennett Enterprises issues a $840,000, 45-day, 7%, note to Spectrum Industries for merchandise inventory.

Assume a 360-day year. If required, round your answers to the nearest dollar. For a compound transaction, if an amount box does not require an entry, leave it blank.

a. Journalize Bennett Enterprises entries to record:

1. the issuance of the note.
2. the payment of the note at maturity.

Entries for notes payable Bennett Enterprises issues a $840,000, 45-day, 7%, note to Spectrum Industries for merchandise inventory. Assume a 360-day year. If required, round your answers to the nearest dollar. For a compound transaction, if an amount box does not require an entry, leave it blank. a. Journalize Bennett Enterprises' entries to record: 1. the issuance of the note. 2. the payment of the note at maturity. 1. Inventory 840,000 Notes Payable 840,000 2. Notes Payable 840,000 Interest Expense Accounting numeric field Cash b. Journalize Spectrum Industries' entries to record: 1. the receipt of the note. 2. the receipt of the payment of the note at maturity. 1. Notes Receivable 840,000 Sales 840,000 Cash Notes Receivable Interest Revenue