The following data relate to notes receivable and interest for Owens Co., a financial services company.(All notes are dated as of the day they are received.)
Mar.
8. Received a $33,000, 5%, 60-day note on account.
31. Received an $80,000, 7%, 90-day note on account.
May
7. Received $33,275 on note of March 8.
16. Received a $72,000, 7%, 90-day note on account.
June
11. Received a $36,000, 6%, 45-day note on account.
29. Received $81,400 on note of March 31.
July
26. Received $36,270 on note of June 11.
Aug.
4. Received a $48,000, 9%, 120-day note on account.
14. Received $73,260 on note of May 16.
Dec.
2. Received $49,440 on note of August 4.
Instructions
Journalize the entries to record the transactions.
Answer:
Mar. 8 Notes Receivable33,000
Accounts Receivable33,000
31 Notes Receivable80,000
Accounts Receivable80,000
May 7 Cash33,275
Notes Receivable33,000
Interest Revenue275
16 Notes Receivable72,000
Accounts Receivable72,000
June 11 Notes Receivable36,000
Accounts Receivable36,000
29 Cash81,400
Notes Receivable80,000
Interest Revenue1,400
July 26 Cash36,270
Notes Receivable36,000
Interest Revenue270
Aug. 4 Notes Receivable48,000
Accounts Receivable48,000
14 Cash73,260
Notes Receivable72,000
Interest Revenue1,260
Dec. 2 Cash49,440
Notes Receivable48,000
Interest Revenue1,440
