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Hauser Co. wholesales bathroom fixtures. During the current fiscal year, Hauser Co. received the following notes.
Instructions
1. Determine for each note (a) the due date and (b) the amount of interest due at maturity, identifying each note by number.
2. Journalize the entry to record the dishonor of Note (3) on its due date.
3. Journalize the adjusting entry to record the accrued interest on Notes (5) and (6) on December 31.
4. Journalize the entries to record the receipt of the amounts due on Notes (5) and (6) inJanuary.
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Provisions and Contingencies
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A company purchased land costing $27,000 by making a 25 percent cash down payment and signing a 90-day note for the balance. The entry to record this transaction would ??
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