General Journal, General Ledger, Trial Balance, Schedule of recievables, calcula

Question

General Journal, General Ledger, Trial Balance, Schedule of recievables, calculation of interest



GLO701- Based on Problem 7-5A LO C2, C3, P4 The following selected trensactions are from Duerr Company 2016 Dec. 16 Accepted a $12,000, 6e-day, 10% note dated this day in granting Edward Lee a time extension on his past-due account receivable. 31 Made an adjusting entry to record the accrued interest on the Lee note. 2017 Feb. 14 Received Lee's payment of principal and interest on the note dated December 16. Mar. 2 Accepted a S11 00, 10%, 90-day note dated this day in granting a time extension on the past-due account receivable from Lauer Co. 17 Acceptea a $17,400, 38-day, 8x note doted this day in granting Jose Garcia a tine extension on her past-due account receivable Apr. 16 Garcia dishonored her note when presented for payment. May 31 Lauer Co. refused to pay the note that was due to Duerr Co. on May 31. Prepare the journal entry to charge the dishonored note plus accrued interest to Lauer Co.'s accounts receivable. July 16 Received payment from Lauer Co. fon the maturity value of its dishonored note plus interest for 46 days beyond maturity at Aug. 7 Accepted a S14,000, 90-day, 8% note dated this day in granting a time extension on the past-due account receivable of Sep. 3 Accepted a S16,200, 60-day, 10% note dated this day in granting Wang Lee a time extension on his past-due account Stone Co. receivable. Nov. 2 Received payment of principal plus interest from Lee for the September 3 note. Nov. 5 Received payment of principal plus interest from Stone for thè August 7 note. Dec. 1 Wrote off the Garcia account egeinst the Allowance for Doubtful Accounts General Triai Balance R Schedule of Calculation of Receivables Interest General RequirementJournal Here are the balances in Accounts and Notes recelvable based on vour lournal entries: Prey1 of 1 i

Explanation / Answer

Dec 2016:

*Assumption 360 days a year

journal entry:

Dec 16. Notes receivable --Dr. 12000

account receivable. 12000

Dec 31. Interest receivable - Dr 50

Interest Revenue 50

Calculation of Interest Amt

Date Particular debit credit

Feb-14 Cash 12200
Interst revenue 150
Interest receivable 50
Notes receivable 12000

Mar-02 Notes receivable -lauer 11000
account receivable 11000

Mar-17 Notes receivable -Jose garcia 17400
account receivable 17400

Apr-16 account receivable- Jose garcia 17516
Interst revenue 116
Notes receivable 17400

May-31 account receivable- lauer 11275
Interst revenue 275
Notes receivable 11000

Jul-16 Cash 11419
Interst revenue 144
Notes receivable-lauer 11275

Aug-07 Notes receivable -STONE CO 14000
account receivable 14000

Sep-03 Notes receivable - 16200
account receivable- WANG LEE 16200

Nov-02 Cash 16470
Interst revenue 270
Notes receivable- wang lee 16200

Nov-05 Cash 14280
Interst revenue 280
Notes receivable- stone co 14000

Dec-01 Allowance for doubtful accounts 17516
account receivable 17516
  

Total through maturity interest recognised 31 dec principle 12000 12000 rate% 10 10% Time 60/360 15/360 Total int 200 50

Related Questions

Navigate

• Browse (All)
• Browse G
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.