The following are selected 2023 transactions of Concord Corporation. Purchased inventory from Bramble Ltd. on account...

Transcribed Image Text:

The following are selected 2023 transactions of Concord Corporation. Purchased inventory from Bramble Ltd. on account for $43,600. Concord uses a periodic inventory system. Sept. 1 Oct. 1 1 Borrowed $76,800 from the bank by signing a 12-month, non-interest-bearing $80,200 note. Issued a $43,600, 12-month, 8% note to Bramble in payment of Concord's account. c. Calculate the net liability, in total, to be reported on the December 31, 2023 SFP for (1) the interest-bearing note, and (2) the non-interest-bearing note. (a) Prepare journal entries for the selected transactions above. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. List all debit entries before credit entries. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.) Date Account Titles and Explanation (Settlement of accounts payable by issuing a note) (Borrowed cash and issued a note) b. Prepare adjusting entries at December 31, 2023 Date Account Titles and Explanation (To accrue interest expense on 8% note) (To accrue interest expense on non-interest-bearing note) Debit Credit Debit Credit (1) The interest-bearing note (2) The non-interest-bearing note The following are selected 2023 transactions of Concord Corporation. Purchased inventory from Bramble Ltd. on account for $43,600. Concord uses a periodic inventory system. Sept. 1 Oct. 1 1 Borrowed $76,800 from the bank by signing a 12-month, non-interest-bearing $80,200 note. Issued a $43,600, 12-month, 8% note to Bramble in payment of Concord's account. c. Calculate the net liability, in total, to be reported on the December 31, 2023 SFP for (1) the interest-bearing note, and (2) the non-interest-bearing note. (a) Prepare journal entries for the selected transactions above. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. List all debit entries before credit entries. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.) Date Account Titles and Explanation (Settlement of accounts payable by issuing a note) (Borrowed cash and issued a note) b. Prepare adjusting entries at December 31, 2023 Date Account Titles and Explanation (To accrue interest expense on 8% note) (To accrue interest expense on non-interest-bearing note) Debit Credit Debit Credit (1) The interest-bearing note (2) The non-interest-bearing note