Question: i need help woth the journa entry please Exercise 10-14 (Part Level Submission) Bonita Inc. has decided to purchase equipment from Central Michigan Industries on
i need help woth the journa entry pleaseExercise 10-14 (Part Level Submission) Bonita Inc. has decided to purchase equipment from Central Michigan Industries on January 2, 2020, to expand its production capacity to meet customers' demand for its product. Bonita issues a[n) $1,680,000, S-year, zero interest-bearing note to Central Michigan for the new equipment when the prevailing market rate of interest for obligations of this nature is 12%. The company will pay off the note in five $336,000 installments due at the end of each year over the life of the note. Your answer is partially correct. Try again. Prepare the journal entry at the date of purchase. (Round factor values to 5 decimal places,.. 1.25124 and final answers to decimal places. e.o. 5,275 Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter o for the amounts.) Account Titles and Explanation Debit Credit Equipment 2134556 sty Discount on Notes Payable 454556 Notes Payable 1680000 SHOW LIST OF ACCOUNTS LTO TENY Attemptsi 1 of used SAVE FOR LATER SUBMIY ANSWER The parts of this question must be compted in order. This part ww be available when you complete the part above
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
