{[ promptMessage ]}

Bookmark it

{[ promptMessage ]}

ch+8+solutions

ch+8+solutions - Chapter 8(10-15 min E 8-2 CREDIT Journal...

Info iconThis preview shows pages 1–5. Sign up to view the full content.

View Full Document Right Arrow Icon
Chapter 8 (10-15 min.) E 8-2 Journal DATE ACCOUNT TITLES AND EXPLANATION DEBIT CREDIT Sept. 30 Cash………………………………………… 312 Unearned Subscription Revenue…… 300 Sales Tax Payable ($300 × .04) ……… 12 Dec. 15 Sales Tax Payable………………………… 12 Cash……………………………………… 12 31 Unearned Subscription Revenue………. 75 Subscription Revenue ($300 × 3/12).. 75 BALANCE SHEET Current liabilities: Unearned subscription revenue ($300 – $75)…………. $225 (5-10 min.) E 8-4 Req. 1 Interest to accrue at = $100,000 × .08 × 6/12 = $4,000 Dec. 31, 20X6 Chapter 8 Current and Long-Term Liabilities 23
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
Req. 2 Final payment = $100,000 + ($100,000 × . 08) = $108,000 on July 1, 20X7 Req. 3 Interest expense for: 20X6 = $100,000 × .08 × 6/12 = $4,000 20X7 = $100,000 × .08 × 6/12 = $4,000 Financial Accounting 6/e Solutions Manual 24
Background image of page 2
(30-40 min.) P 8-2B Journal DATE ACCOUNT TITLES AND EXPLANATION DEBIT CREDIT 20X5 Feb. 3 Machine .................................................. 47,000 Note Payable, Short-term ................ 47,000 Apr. 30 Cash ........................................................ 100,000 Note Payable, Short-term ................ 25,000 Note Payable, Long-term ................. 75,000 Aug. 3 Note Payable, Short-term ...................... 47,000 Interest Expense ($47,000 × .08 × 6/12) 1,880 Cash ................................................... 48,880 Dec. 31 Warranty Expense ($145,000 × .02) .... 2,900 Estimated Warranty Payable ........... 2,900 31 Interest Expense ($100,000 × .09 × 8/12) 6,000 Interest Payable ................................
Background image of page 3

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
Background image of page 4
Background image of page 5
This is the end of the preview. Sign up to access the rest of the document.

{[ snackBarMessage ]}