View Policies Show Attempt History Current Attempt in Progress On December 31, 2022, Teal Mountain Inc. borrowed $81,508 from Par Bank, signing a $149,000, 7-year, non-interest-bearing note. The note was issued to yield 9% interest. Unfortunately, during 2023 Teal Mountain began to experience financial difficulty. This was determined to be a significant increase in risk, and at December 31, 2023, Par Bank estimated that it was probable that it would receive only $111,750 at maturity. For simplicity, assume that this reflects the probability-weighted amount. The market rate of interest on loans of this nature is now 12%. Both companies prepare financial statements in accordance with IFRS 9. Click here to view the factor table PRESENT VALUE OF 1. Click here to view the factor table PRESENT VALUE OF AN ANNUITY OF 1. (a) Your answer is correct. Prepare the entry to record the issuance of the loan by Par Bank on December 31, 2022. (Credit account titles are automatically

On December 31, 2022, Teal Mountain Inc. borrowed $81,508 from Par Bank, signing a $149,000,7-year, non-interest-bearing note. The note was issued to yield 9% interest. Unfortunately, during 2023 Teal Mountain began to experience financial difficulty. This was determined to be a significant increase in risk, and at December 31, 2023, Par Bank estimated that it was probable that it would receive only $111.750 at maturity, For simplicity, assume that this reflects the probability-weighted amount. The market rate of interest on loans of this nature is now 12%. Both companies prepare financial statements in accordance with IFRS 9. Click here to view the factor table PRESENT VALUE OF 1. Click here to view the factor table PRESENT VALUE OF AN ANNUITY OF 1. (a) Your answer is correct. Prepare the entry to record the issuance of the loan by Par Bank on December 31, 2022. (Credit account titles are of indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account title the amounts. List debit entry before credit entry.)