LCD Industries purchased a supply of electronic components from Entel Corporation on November 1, 2021. In...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
LCD Industries purchased a supply of electronic components from Entel Corporation on November 1, 2021. In payment for the $25.8 million purchase, LCD issued a 1-year Installment note to be paid in equal monthly payments at the end of each month. The payments include interest at the rate of 18%.(FV of $1, PV of $1, FVA of $1. PVA of $1, EVAD of $1 and PVAD of $1) (Use appropriate factor(s) from the tables provided.) Required: 1. & 2. Prepare the journal entries for LCD's purchase of the components on November 1, 2021 and the first installment payment on November 30, 2021. 3. What is the amount of Interest expense that LCD will report in its income statement for the year ended December 31, 2021? Prepare the journal entries for LCD's purchase of the components on November 1, 2021 and the first installment payment on November 30, 2021. (Enter your answers in whole dollars. If no entry is required for a transaction/event, select "No journal en required" in the first account field.) Record the purchase of the components. Record the first instaliment payment. LCD Industries purchased a supply of electronic components from Entel Corporation on November 1, 2021. In payment for the $25.8 million purchase, LCD issued a 1-year Installment note to be paid in equal monthly payments at the end of each month. The payments include interest at the rate of 18%.(FV of $1, PV of $1, FVA of $1. PVA of $1, EVAD of $1 and PVAD of $1) (Use appropriate factor(s) from the tables provided.) Required: 1. & 2. Prepare the journal entries for LCD's purchase of the components on November 1, 2021 and the first installment payment on November 30, 2021. 3. What is the amount of Interest expense that LCD will report in its income statement for the year ended December 31, 2021? Prepare the journal entries for LCD's purchase of the components on November 1, 2021 and the first installment payment on November 30, 2021. (Enter your answers in whole dollars. If no entry is required for a transaction/event, select "No journal en required" in the first account field.) Record the purchase of the components. Record the first instaliment payment.
Expert Answer:
Answer rating: 100% (QA)
Solution Journal Entries Date Account title and explanation De... View the full answer
Related Book For
Intermediate Accounting
ISBN: 978-0078025839
9th edition
Authors: J. David Spiceland, James Sepe , Mark Nelson , Wayne Thomas
Posted Date:
Students also viewed these accounting questions
-
LCD Industries purchased a supply of electronic components from Entel Corporation on November 1, 2018. I payment for the $24 million purchase, LCD issued a 1-year installment note to be paid in equal...
-
LCD Industries purchased a supply of electronic components from Entel Corporation on November 1, 2021. In payment for the $24 million purchase, LCD issued a 1-year installment note to be paid in...
-
LCD Industries purchased a supply of electronic components from Entel Corporation on November 1, 2011. In payment for the $24 million purchase, LCD issued a 1-year installment note to be paid in...
-
. The electric polarization P of a light wave for high values of the electric field E is given by: P= a(c,E+cE + cE) where a, c1, c2 and c3 are constants. Find the expression for the instantaneous...
-
Roy and Icie Johnson established two revocable inter vivos trusts in 1966. The trusts provided that upon Roy's and Icie's deaths, income from the trusts was to be paid in equal shares to their two...
-
Philadelphias Sports Injury Center conducted a study to determine the relative effectiveness of four alternative rehabilitation programs designed for patients recovering from severe knee injuries....
-
An accountant employed by the organizing committee for the Atlanta Summer Olympic Games was charged with embezzling approximately \($60,000.\) The money allegedly was used to purchase a used...
-
On February 1, 2011, Arrow Construction Company entered into a three-year construction contract to build a bridge for a price of $8,000,000. During 2011, costs of $2,000,000 were incurred with...
-
Gloria Ammon has just won the state lottery and has the following three payout options for after-tax prize money 1. $50,000 per year at the end of each of the next six years 2. $304,000 (lump sum)...
-
A backgammon player will be playing three consecutive matches with friends tonight. For each match, he will have the opportunity to place an even bet that he will win; the amount bet can be any...
-
Problem 1: Choose a publicly traded company from the Australian Securities Exchange (ASX). Provide the following information of your chosen company and what is the product or service the company...
-
Job Tango is due in 4 weeks. If the flowtime for this job is 6 weeks, what is this job's tardiness?
-
The optimum speeds (in kilometers per hour) for 30 hatchbacks Approximate the mean of the frequency distribution. Car Speeds (in kilometers per hour) 20-24 Frequency 8 25-29 16 30-34 5 35-39 1
-
In the supplier positioning model, the X and Y axes are composed of what?
-
Is a tier 1 supplier associated with the inbound or outbound logistics of another firm?
-
The durations (in days) of germination for a random sample of seeds. Find the range, mean, variance, and standard deviation of the sample data set. 25 29 23 24 26 21 28 29 25 26 24 28 26 25 25 26 29...
-
The following is the balance sheet and income statement for Metro Eagle Outfitters, in condensed form, plus some information from the cash flow statement. Balance Sheet Cash and short-term...
-
To help you become familiar with the accounting standards, this case is designed to take you to the FASBs Web site and have you access various publications. Access the FASBs Web site at...
-
A zero-coupon bond pays no interest. Explain.
-
Indicate (by abbreviation) the type of hedge each activity described below would represent. Hedge . Type FV ... Fair value hedge CF ... Cash flow hedge FC ... Foreign currency hedge N ... Would not...
-
Kerianne paints landscapes, and in late 2018 placed four paintings with a retail price of $250 each in the Holmstrom Gallery. Kerianne's arrangement with Holmstrom is that Holmstrom will earn a 20%...
-
Ritter Company has a current ratio of 3.00 on December 31. On that date the company's current assets are as follows: Ritter Company's current liabilities at the beginning of the year were \(\$...
-
Ritter Company, whose current assets at December 31 are shown in Exercise E13-6A, had net sales for the year of \(\$ 850,000\) and cost of goods sold of \(\$ 550,000\). At the beginning of the year,...
-
The following information is available for Banner Company: Calculate the following: a. 2019 debt-to-equity ratio. b. 2019 times-interest-earned ratio. c. 2019...
Study smarter with the SolutionInn App