Exercise 7-13 On July 1, 2017, Whispering Inc. made two sales. 1. It sold land...
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Exercise 7-13 On July 1, 2017, Whispering Inc. made two sales. 1. It sold land having a fair value of $918,650 in exchange for a 4-year zero-interest-bearing promissory note in the face amount of $1,445,509. The land is carried on Whispering's books at a cost of $598,400. 2. It rendered services in exchange for a 3%, 8-year promissory note having a face value of 5401.340 (interest payable annually) Whispering Inc. recently had to pay 8% interest or money that it borrowed rom Br sh National Bank The customers in these two transactions have cred at 12% interest. ratings a require em to orrow more Record the two journal entries that should be recorded by Whispering Inc. for the sales transactions above that took place on July 1, 2017. (Round present value factor calculations to 5 decimal places, e.g. 1.25124 and final answers to 0 decimal places, e.g. 5,275. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. Credit account titles are automatically indented when the amount is entered. Do not indent manually.) No. Date Account Titles and Explanation Debit Credit 1. July 1, 2017 Notes Receivable ales Revenue 2. July 1, 2017
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