Question

homework question

an t 2012 Yeart ofte s Als require explanations Date AOOUD PR Dr. Or Explanation to include details of the note) 100N Use this amortization table to do your journal entries: 1 12 Note Amount: 0,00 terest Rate A lt Interest Rate per Matbly payment 0700 of Monthly Payments: Payment per period S0501 yment terest Principal Balance 40000 JOO 695 0 90460 052 RL Il TS l 21 72720 YAR 18 ou the payoff of the related balances to is the same 12 ist. 2013. ("Payot means: Pay the debt to render a ne more payment ready paid recorded. The price balance 12 luneth Ninterest charged on the day of payof i 5025716 5161 749.35 2,057201 759110921 76061 TOAST Assignment Amort Table Assignment Journal Entries Select destination and press ENTER or choose Paste

Answer 1

Date	Account/Description	Debit	Credit
Jan 1, 2012	Cash	$40,000.00
	Notes Payable		$40,000.00
	(To record notes payable of $40000 with interest rate of 9% to be paid in 48 monthly installment of $995.40)
Jan 31, 2012	Interest Expense	$300.00
	Notes Payable	$695.40
	Cash		$995.40
	(To record payment of installment on note payable)
Feb 28, 2012	Interest Expense	$294.78
	Notes Payable	$700.62
	Cash		$995.40
	(To record payment of installment on note payable)
July 1, 2013	Notes Payable	$26,651.99
	Cash		$26,651.99
	(To record repayment of notes payable in full)