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Prepare dold journal entries for the initial transaction

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Reference no: EM131829463

Question - Dold Acrobats lent $29,091 to Donaldson, Inc., accepting Donaldson's 2-year, $35,843, zero-interest bearing note. The implied interest rate is 11%.

Prepare Dold's journal entries for the initial transaction, recognition of interest each year, and the collection of $35,843 at maturity.

Reference no: EM131829463

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