Problem 9-1A Short-term notes payable transactions and entries LO P1

[The following information applies to the questions displayed below.]

Tyrell Co. entered into the following transactions involving short-term liabilities in 2012 and 2013.

2012
Apr. 20	Purchased $37,000 of merchandise on credit from Locust, terms are 1/10, n/30. Tyrell uses the perpetual inventory system.
May 19	Replaced the April 20 account payable to Locust with a 90-day, $35,000 note bearing 9% annual interest along with paying $2,000 in cash.
July 8	Borrowed $63,000 cash from National Bank by signing a 120-day, 11% interest-bearing note with a face value of $63,000.
__?__	Paid the amount due on the note to Locust at the maturity date.
__?__	Paid the amount due on the note to National Bank at the maturity date.
Nov. 28	Borrowed $30,000 cash from Fargo Bank by signing a 60-day, 9% interest-bearing note with a face value of $30,000.
Dec. 31	Recorded an adjusting entry for accrued interest on the note to Fargo Bank.

2013

__?__

Paid the amount due on the note to Fargo Bank at the maturity date.

References

Section BreakProblem 9-1A Short-term notes payable transactions and entries LO P1

1.

value: 5.00 points

Required information

Problem 9-1A Part 1

Required:
1.	Determine the maturity date for each of the three notes described.

References

eBook & Resources

WorksheetDifficulty: Hard

Problem 9-1A Part 1Learning Objective: 09-P1 Prepare entries to account for short-term notes payable.

eBook: Short-Term Notes Payable

2.

value: 5.00 points

Required information

Problem 9-1A Part 2

2.	Determine the interest due at maturity for each of the three notes. (Do not round your intermediate calculations. Use 360 days a year.)

eBook & Resources

Expanded tableDifficulty: Hard

Problem 9-1A Part 2Learning Objective: 09-P1 Prepare entries to account for short-term notes payable.

eBook: Short-Term Notes Payable

3.

value: 5.00 points

Required information

Problem 9-1A Part 3

3.	Determine the interest expense to be recorded in the adjusting entry at the end of 2012. (Do not round your intermediate calculations. Use 360 days a year.)

References

eBook & Resources

Expanded tableDifficulty: Hard

Problem 9-1A Part 3Learning Objective: 09-P1 Prepare entries to account for short-term notes payable.

eBook: Short-Term Notes Payable

4.

value: 5.00 points

Required information

Problem 9-1A Part 4

4.	Determine the interest expense to be recorded in 2013. (Do not round your intermediate calculations. Use 360 days a year.)

eBook & Resources

Expanded tableDifficulty: Hard

Problem 9-1A Part 4Learning Objective: 09-P1 Prepare entries to account for short-term notes payable.

eBook: Short-Term Notes Payable

Check my work

5.

value: 5.00 points

Required information

Problem 9-1A Part 5

5.1	Prepare journal entries for all the preceding transactions and events for years 2012. (Do not round your intermediate calculations.)

5.2	Prepare journal entries for all the preceding transactions and events for years 2013. (Do not round your intermediate calculations.)

eBook & Resources

WorksheetDifficulty: Hard

Problem 9-1A Part 5Learning Objective: 09-P1 Prepare entries to account for short-term notes payable.

eBook: Short-Term Notes Payable