Hinshaw Co. follows IFRS and has a Dec 31 year end. The following transactions occurred during...

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Hinshaw Co. follows IFRS and has a Dec 31 year end. The following transactions occurred during 2020: Required: Prepare all of the 2020 journal entries related to the below scenarios. Show all calculations. 1) On January 1, 2020, Hinshaw purchased a piece of land by issuing a note for $400,000 plus 4% interest. Interest payments are due annually on January 1 and the note matures on January 1, 2023. (5% is the market rate of interest on this type of loan.) 2) Hinshaw issued a $800,000, four-year, zero-interest-bearing note to Williams Corp. on July 1, 2020, and received $688,000 cash. (Note: You will need to calculate the effective interest rate. Use Excel RATE formula. Type out the factors that you used in your formula (ie. PV, FV, n). Round your percentage to two decimal places (ie. X.XX%.)) Hinshaw Co. follows IFRS and has a Dec 31 year end. The following transactions occurred during 2020: Required: Prepare all of the 2020 journal entries related to the below scenarios. Show all calculations. 1) On January 1, 2020, Hinshaw purchased a piece of land by issuing a note for $400,000 plus 4% interest. Interest payments are due annually on January 1 and the note matures on January 1, 2023. (5% is the market rate of interest on this type of loan.) 2) Hinshaw issued a $800,000, four-year, zero-interest-bearing note to Williams Corp. on July 1, 2020, and received $688,000 cash. (Note: You will need to calculate the effective interest rate. Use Excel RATE formula. Type out the factors that you used in your formula (ie. PV, FV, n). Round your percentage to two decimal places (ie. X.XX%.))

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1 As on Jan 1 2020 land was purchased by issueing note for Land In this transaction land is an asset ... View the full answer