Record the payment of the first instalment of note payable

Assignment Help Accounting Basics
Reference no: EM132738112

Question: On the 1st March 2019, Concept Limited purchased printing equipment costing $186,000 by issuing a 5 year, 4% unsecured note payable. The note requires $42,000 annual principal repayments plus interest each 1st March.

Journalise the transactions to account for the acquisition of equipment. (Remember to allocate the current and non-current portions of the liability)

Accrue interest on the note payable at the 31st December, 2019.

Record the payment of the first instalment (including interest) of the note payable on 1st March, 2020 and then accrue interest as at 31st December, 2020.

Need an excerpt best to from the Balance Sheet as at 31st December, 2020 showing liabilities.

Reference no: EM132738112

Questions Cloud

How are social and economic factors influencing companies : How are social and economic factors influencing companies' approach to hiring, motivating, and retainingemployees?
Why is workplace diversity so important in today : Why is workplace diversity so important in today's business environment?
Describe and explain what is value proposition : Describe and explain what is value proposition
How can you learn to be aware of emotional triggers : How can you learn to be aware of emotional triggers in the workplace and why would this be helpful
Record the payment of the first instalment of note payable : Record the payment of the first instalment (including interest) of the note payable on 1st March, 2020 and then accrue interest as at 31st December, 2020.
What management skill sets does he exhibit : What management skill sets does he exhibit?(T.K Kurien)
How do you compare the offers : You have two great job opportunities. Both are equally attractive in terms of job content and offer the same salary. However, one offers year-end bonuses
Find what is the cost per equivalent unit for material : What is the cost per equivalent unit for material using average method? Beginning Work in process (75% complete) 14,500 units
Prepare the shareholder equity section of the balance sheet : The shareholder's equity for Julie's Occupational Therapy Limited on 30 June is as shown. On 31 October, the market price of Julie's Occupational Therapy.

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

Accounting problems,  Draw a detailed timeline incorporating the dividends, calculate    the exact Payback Period  b)   the discounted Payback Period. the IRR,  the NPV, the Profitability Index.

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd