How do i enter these in a Interest expense, InterestReceivable, Interest Income

Question

How do i enter these in a Interest expense, InterestReceivable, Interest Income Journal. Some how my ending balance isnot going to good, i don't want to use the computer calcuator iwant to learn how to calcualate it manually. Please help. NOTES PAYABLE Date.......Description...............................InterestRate Jan 1......100,000 note due in 9 mths...............9 % Feb 1......75,000 note due in 6 mths................12% NOTES RECEIVABLE Feb 1......60,000 note due in 3 mths.................6% Assume all interest is paid at maturity and none of the notesare paid early. What should be the entry for interest expense on March31? What entry should be recorded in the interest receivableaccount for Friday? How much interest income should be recorded for the yearending December 31? How much interest expense is recorded for the year endingDecember 31 How much cash will be paid for the January 1 note, plusinterest, on October1? How do i enter these in a Interest expense, InterestReceivable, Interest Income Journal. Some how my ending balance isnot going to good, i don't want to use the computer calcuator iwant to learn how to calcualate it manually. Please help. NOTES PAYABLE Date.......Description...............................InterestRate Jan 1......100,000 note due in 9 mths...............9 % Feb 1......75,000 note due in 6 mths................12% NOTES RECEIVABLE Feb 1......60,000 note due in 3 mths.................6% Assume all interest is paid at maturity and none of the notesare paid early. What should be the entry for interest expense on March31? What entry should be recorded in the interest receivableaccount for Friday? How much interest income should be recorded for the yearending December 31? How much interest expense is recorded for the year endingDecember 31 How much cash will be paid for the January 1 note, plusinterest, on October1?

Explanation / Answer

1

31-Mar

Interest expense

$2,250

          Interestpayable

$2,250

($1,00,000 X 9% X 3/12)

2

31-Mar

Interest expense

$1,500

          Interestpayable

$1,500

($75000 X 12% X 2/12)

3

31-Mar

Interest Receivable

$600

       Interest Revenue

$600

($60,000 x6%x 2/12)

4

Interest Income

$60,000 x 6% x3/12

$900

5

Interest expenses

$100000 x 9% x 9/12

$6,750

$75000 x 12% x 6/12

$4,500

6

1 Oct.

$1,00,000 + $6750 =

$1,06,750

1

31-Mar

Interest expense

$2,250

          Interestpayable

$2,250

($1,00,000 X 9% X 3/12)

2

31-Mar

Interest expense

$1,500

          Interestpayable

$1,500

($75000 X 12% X 2/12)

3

31-Mar

Interest Receivable

$600

       Interest Revenue

$600

($60,000 x6%x 2/12)

4

Interest Income

$60,000 x 6% x3/12

$900

5

Interest expenses

$100000 x 9% x 9/12

$6,750

$75000 x 12% x 6/12

$4,500

6

1 Oct.

$1,00,000 + $6750 =

$1,06,750

Sorry I am not able to understand the 3 point. Ihope this will help you

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