Required: 1-a. First, complete the table below to calculate the interest amount at December 31, Year 1.
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Question:
Required:
1-a. First, complete the table below to calculate the interest amount at December 31, Year 1.
1-b. Use the calculated value to prepare your journal entries for Year 1 transactions.
1-c. First, complete the table below to calculate the interest amounts.
1-d. Use those calculated values to prepare your journal entries for Year 2 transactions.
2. If Ohlm pledged its receivables as security for a loan from the bank, where on the financial statements does it disclose this pledge of receivables?
Required 1A
Time:
- 15/360
- 30/360
- 46/360
- 60/360
- 90/360
- 120/360
- 180/360
Required 1B
Gerneral Journal:
- Accounts payable—A. Privet
- Accounts payable—D. Todd
- Accounts payable—Midnight Co
- Accounts payable—Mulan
- Accounts payable—N. Carson
- Accounts receivable—A. Privet
- Accounts receivable—D. Todd
- Accounts receivable—Midnight Co
- Accounts receivable—Mulan
- Accounts receivable—N. Carson
- Allowance for doubtful accounts
- Cash
- Interest receivable
- Interest revenue
- Notes payable—A. Privet
- Notes payable—D. Todd
- Notes payable—Midnight Co
- Notes payable—Mulan
- Notes payable—N. Carson
- Notes receivable—A. Privet
- Notes receivable—D. Todd
- Notes receivable—Midnight Co
- Notes receivable—Mulan
- Notes receivable—N. Carson
Required 1C
Time:
- 15/360
- 30/360
- 46/360
- 60/360
- 90/360
- 120/360
- 180/360
Required 1D
General Journal:
- Accounts payable—A. Privet
- Accounts payable—D. Todd
- Accounts payable—Midnight Co
- Accounts payable—Mulan
- Accounts payable—N. Carson
- Accounts receivable—A. Privet
- Accounts receivable—D. Todd
- Accounts receivable—Midnight Co
- Accounts receivable—Mulan
- Accounts receivable—N. Carson
- Allowance for doubtful accounts
- Cash
- Interest receivable
- Interest revenue
- Notes payable—A. Privet
- Notes payable—D. Todd
- Notes payable—Midnight Co
- Notes payable—Mulan
- Notes payable—N. Carson
- Notes receivable—A. Privet
- Notes receivable—D. Todd
- Notes receivable—Midnight Co
- Notes receivable—Mulan
- Notes receivable—N. Carson
Required 2
The pledge of receivables is shown in the:
- Income statement
- Financial statement footnotes
- Balance Sheet
Related Book For
Financial and Managerial Accounting the basis for business decisions
ISBN: 978-1259692406
18th edition
Authors: Jan Williams, Susan Haka, Mark Bettner, Joseph Carcello
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