Ask Question
24 January, 15:45

On September 1, Tacht Company lent $ 82,000 to L. Kalra on a 90-day, 2 % note.

1. Journalize for Tacht Company the lending of the money on September 1.

2. Journalize the collection of the principal and interest at maturity. Specify the date. Round interest to the nearest dollar.

+3
Answers (1)
  1. 24 January, 18:34
    0
    Answer and Explanation:

    The journal entries are shown below:

    On Sep 1

    Note receivable Dr $82,000

    To Cash $82,000

    (Being the lending of the money is recorded)

    On Sep 1 to 90 days it is December 1

    29 days in September + 31 days in October + 30 days in November

    On December 1

    Cash $82,410

    To Interest revenue $410

    To Note receivable $82,000

    (Being the collection of the principal and interest at maturity is recorded)

    The computation is shown below:

    = $82,000 * 2% * 90 days : 360 days

    = $410
Know the Answer?
Not Sure About the Answer?
Find an answer to your question ✅ “On September 1, Tacht Company lent $ 82,000 to L. Kalra on a 90-day, 2 % note. 1. Journalize for Tacht Company the lending of the money on ...” in 📘 Business if you're in doubt about the correctness of the answers or there's no answer, then try to use the smart search and find answers to the similar questions.
Search for Other Answers