Recognizing Accounts Receivable On June 7, Bixby Co. sells $1,250 of merchandise to Jasmine Co. on...

Recognizing Accounts Receivable On June 7, Bixby Co. sells $1,250 of merchandise to Jasmine Co. on account. Jasmine Co. pays for this merchandise on June 21. Prepare the entry on Bixby's books to record the sale. Prepare the entry on Bixby's books to record the receipt of payment. a. General Journal Date Description Debit Credit June 7 Answer Answer Answer Answer Answer Answer To record sales of merchandise. b. General Journal Date Description Debit Credit June 21 Answer Answer Answer Answer Answer Answer To record receipt of cash from customer. Question 2Not yet answeredMarked out of 5.00 Not flaggedFlag question Question text Maturity Dates of Notes Receivable Determine the maturity date and compute the interest for each of the following notes: (Use 360 days for interest calculation. Round to the nearest dollar.) Date of Note Principal Interest Rate Term a. August 5 $12,000 8% 45 days b. May 10 33,600 7% 75 days c. October 20 48,000 9% 120 days d. July 06 9,000 10% 45 days e. September 15 18,000 8% 90 days Maturity Date Month Day Interest a. Answer Answer Answer b. Answer Answer Answer c. Answer Answer Answer d. Answer Answer Answer e. Answer Answer

Solutions

Expert Solution

a)
Date	Accounts Titles and Explanation	Debit (in $)	Credit (in $)
June. 7	Accounts Receivable / Jasmine Co.	$1,250
	Sales		$1,250
	(To record the sale of merchandise)


b)
Date	Accounts Titles and Explanation	Debit (in $)	Credit (in $)
June. 21	Cash	$1,250
	Accounts Receivable / Jasmine Co.		$1,250
	(To record the receipt of cash from Customer)

	Date of note	Principal	Term	Interest Rate	Maturity date	Interest
a.	Aug-05	$12,000	45 days	8%	September - 19	$12,000 8%45/360 = $120
b	May-10	$33,600	75 days	7%	July - 24	$33,600 7%75/360 = 266 = $490
c	Oct-20	$48,000	120 days	9%	February - 17	$48,0009%120/360 = 169 = $1,440
d	Jul-06	$9,000	45 days	10%	August - 20	$9,00010%45/360 = $112.50
e	Sep-15	$18,000	90 days	8%	December -14	$18,000 8%90/360 = 220 = $360

ekkarill92 answered 1 year ago

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