Question: J C D E F G H exercise 4 - Your Company uses the 360 day convention. a) On 11/25/21 Your Co. loaned F Co.
J C D E F G H exercise 4 - Your Company uses the 360 day convention. a) On 11/25/21 Your Co. loaned F Co. 544000 on a 8% 45 day note. Record the journal entries at issuance, year end, and maturity. Assume interest is paid at maturity and the 360 day convention is used. Credit General Journal Date Account/Explanation PR 11/25/21 Note Receivable Cash (F Co. $44000 8% 45 day note) Debit 44,000.00 44,000.00 12/31/21 Interest Receivable Interest Revenue (Accrue interest) X X X X X (Maturity of note) b) on 12/12/21 Your Co. loaned B Co. $16000 on a 9% 30 day note. Record the journal entries at issuance, year end, and maturity. Assume interest is paid at maturity and the 360 day convention is used General Journal Date Account/Explanation PR Debit Credit 12/12/21 X X X X (B Co. $16000 9% 30 day note) 12/31/21 (Accrue interest) X X X X 03 . D Ready 5 6
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