80.2K

Verified Solution

Link Copied!

The following transactions are from Ohlm Company. (Use 360 days a year.) Year 1 Dec. 16 Accepted a $10, 200, 60-day, 7% note in granting Danny Todd a time extension on his past-due account receivable. 31 Made an adjusting entry to record the accrued interest on the Todd note. Year 2 Feb. 14 Received Todd's payment of principal and interest on the note dated December 16. Mar. 2 Accepted a(n) $6,500, 7%, 90-day note in granting a time extension on the past-due account receivable from Midnight Co. 17 Accepted a(n) $2,700, 30-day, 7% note in granting Ava Privet a time extension on her past-due account receivable. Apr. 16 Privet dishonored her note. May 31 Midnight Co. dishonored its note. Aug. 7 Accepted a(n) $7,000, 90-day, 10% note in granting a time extension on the past-due account receivable of Mulan Co. Sep. 3 Accepted a(n) $3,180, 60-day, 9% note in granting Noah Carson a time extension on his past-due account receivable. Nov 2 Received payment of principal plus interest from Carson for the September 3 note. Nov 5 Received payment of principal plus interest from Mulan for the August 7 note. Dec. 1 Wrote off the Privet account against the Allowance for Doubtful Accounts: Required: 1-a. First, complete the table below to calculate the interest amount at December 31 Year 1. 1-b. Use the calculated value to prepare your journal entries for Year 1 transactions. 1-c. First, complete the table below to calculate the interest amounts. 1-d. Use those calculated values to prepare your journal entries for Year 2 transactions 2. If Ohlm pledged its receivables as security for a loan from the bank, where on the financial statements does it disclose this pledge of receivables? Complete this question by entering your answers in the tabs below. Required 1A Required 1B Required 10 Required 1D Required 2 First, complete the table below to calculate the interest amount at December 31, Year 1. Total Through Maturity Interest Recognized December 31 Principal Rate (%) Time Total interest Required 1A Required 1B Required 1C Required 1D Required 2 Use the calculated value to prepare your journal entries for Year 1 transactions. (Do not round Intermediate calculations.) View transaction list Journal entry worksheet 1 2 > Accepted a $10,200, 60-day, 7% note in granting Danny Todd a time extension on his past-due account receivable. Note: Enter debits before credits. Date General Journal Debit Credit Dec 16 Record entry Clear entry View general Journal Required 1A Required 1B Required 1C Required 1D Required 2 Use the calculated value to prepare your journal entries for Year 1 transactions. (Do not round intermediate calculations.) View transaction list Journal entry worksheet 1 2. > Made an adjusting entry to record the accrued interest on the Todd note. Note: Enter debits before credits. Date General Journal Debit Credit Dec 31 Record entry Clear entry View general Journal Required 1A Required 1B Required 10 Required 1D Required 2 First, complete the table below to calculate the interest amounts. (Do not round Intermediate calculations.) Total Through Maturity Midnight Co. Note - March 2, Year 2 A. Privet Note - March 17, Year 2 Mulan Note - August 7, Year 2 N. Carson Note - September 3, 2017 Principal Rate (%) Time Total interest Required 1A Required 1B Required 1C Required 10 Required 2 Use those calculated values to prepare your journal entries for Year 2 transactions. View transaction list Journal entry worksheet 1 2 3 4 5 6 7 8 9 10 > Received Todd's payment of principal and interest on the note dated December 16. Note: Enter debits before credits. Date General Journal Debit Credit Feb 14 Record entry Clear entry View general journal Required 1A Required 1B Required 1C Required 1D Required 2 Use those calculated values to prepare your journal entries for Year 2 transactions, View transaction list Journal entry worksheet 1 2 3 4 5 6 7 8 9 10 > Accepted a(n) $6,500,7%, 90-day note in granting a time extension on the past-due account receivable from Midnight Co. Note: Enter debits before credits. Date General Journal Debit Credit Mar 02 Record entry Clear entry View general journal Required 1A Required 1B Required 1C Required 1D Required 2 Use those calculated values to prepare your journal entries for Year 2 transactions. View transaction list Journal entry worksheet 1 2 3 4 5 6 7 8 9 10 Accepted a(n) $2,700, 30-day, 7% note in granting Ava Privet a time extension on her past-due account receivable. Note: Enter debits before credits. Date General Journal Debit Credit Mar 17 Record entry Clear entry View general journal Required 1A Required 1B Required 10 Required 1D Required 2 Use those calculated values to prepare your journal entries for Year 2 transactions. View transaction list Journal entry worksheet 1 2 3 4 5 6 7 8 9 10 > Privet dishonored her note. Note: Enter debits before credits. Date General Journal Debit Credit Apr 16 Record entry Clear entry View general Journal Required 1A Required 1B Required 1C Required 1D Required 2 Use those calculated values to prepare your journal entries for Year 2 transactions. View transaction list Journal entry worksheet Midnight Co. dishonored its note, Note: Enter debits before credits. Date General Journal Debit Credit May 31 Record entry Clear entry View general journal Required 1A Required 1B Required 1C Required 1D Required 2 Use those calculated values to prepare your journal entries for Year 2 transactions. View transaction list Journal entry worksheet Accepted a(n) $7,000, 90-day, 10% note in granting a time extension on the past-due account receivable of Mulan Co. Note: Enter debits before credits. Date General Journal Debit Credit Aug 07 Record entry Clear entry View general journal Required 1A Required 1B Required 1C Required 1D Required 2 Use those calculated values to prepare your journal entries for Year 2 transactions. View transaction list Journal entry worksheet 1 2 3 4 5 6 7 8 9 10 7 Accepted a(n) $3,180, 60-day, 9% note in granting Noah Carson a time extension on his past-due account receivable. Note: Enter debits before credits. Date General Journal Debit Credit Sep 03 Record entry Clear entry View general Journal Required 1A Required 1B Required 10 Required 1D Required 2 Use those calculated values to prepare your journal entries for Year 2 transactions. View transaction list Journal entry worksheet 1 2 3 4 5 6 7 00 9 10 > Received payment of principal plus interest from Carson for the September 3 note. Note: Enter debits before credits. Date General Journal Debit Credit Nov 02 Record entry Clear entry View general journal Required 1A Required 1B Required 1C Required 1D Required 2 Use those calculated values to prepare your journal entries for Year 2 transactions. View transaction list Journal entry worksheet 1 2 3 4 5 6 7 8 10 > Received payment of principal plus interest from Mulan for the August 7 note. Note: Enter debits before credits. Date General Journal Debit Credit Nov 05 Record entry Clear entry View general journal Required 1A Required 1B Required 1c Required 1D Required 2 Use those calculated values to prepare your journal entries for Year 2 transactions. View transaction list Journal entry worksheet 2 3 4 5 6 7 8 9 10 Wrote off the Privet account against the Allowance for Doubtful Accounts. Note: Enter debits before credits. Date General Journal Debit Credit Dec 01 Record entry Clear entry View general Journal Required 1A Required 1B Required 1C Required 1D Required 2 If Ohim pledged its receivables as security for a loan from the bank, where on the financial statements does it disclose this pledge of receivables? The pledge of receivables is shown in the

Answer & Explanation Solved by verified expert

See Answer