How would the transaction be recorded by bentley

Assignment Help Accounting Basics
Reference no: EM132627758

Problem 1: Bentley Landscaping agreed to provide $8,200 of services to a customer "on account". However, because this amount exceeded the normal allowable credit, Bentley required that the customer sign a promissory note indicating the balance would be paid in full in six months along with interest of $246 (the equivalent of a 6% annual interest rate). Suppose that 8% was a more appropriate interest rate for a customer with this credit worthiness, but Bentley decided to give the customer a break on the rate. (At an 8% annual rate, the present value of this note  arrangement is $8,121.) How would this transaction be recorded by Bentley?

Reference no: EM132627758

Questions Cloud

Instructional strategies for ells : Teachers of ELLs use a variety of instructional strategies that facilitate multiple forms of communication in the classroom.
Define steps you will need to take to be more qualified : Identify the additional action steps you will need to take to be more qualified for the position you would like to pursue. Be sure to set reasonable deadlines.
How wheatley leadership best practices support : Thoroughly analyzes how Wheatley's leadership best practices support or compare with the New Business Realities.
Which areas of Accounting do you anticipate : Do you believe that automated workflow systems are relevant to the Accounting disciplines and what trends do you anticipate in the utilization
How would the transaction be recorded by bentley : How would the transaction be recorded by Bentley? Bentley Landscaping agreed to provide $8,200 of services to a customer "on account"
Define how play benefits a child development : The Importance of Play: Watch the video, The Importance of Play. Discuss specific examples of how play benefits a child's development.
Theories of leadership reflected in wheatley observations : Identify the main points and theories of leadership reflected in Wheatley's observations. Describes the main points and theories of leadership reflected in Whea
What is a strategy to filter out noise : What is a strategy to filter out noise and provide an example of how an Emergency Manager can act upon a tweet?
Compute the amount of cash that mm will receive : McDowell's Moolah (MM) decided to sell $226,000 of accounts receivable, Compute the amount of cash that MM will receive related to this sale of receivables.

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

Accounting problems,  Draw a detailed timeline incorporating the dividends, calculate    the exact Payback Period  b)   the discounted Payback Period. the IRR,  the NPV, the Profitability Index.

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd