User Account

All Pages

Prepare the entry record the debt restructuring on the books

Assignment Help Financial Accounting
Reference no: EM132750102

Colt Company is indebted to Kent Company under an P8,000,000, 10% 4 - year note dated December 31, 2018. The interest of P800,000 was paid on December 31, 2019 and 2020.

During 2021, Colt Company experienced financial difficulties and is likely to default unless concessions are made. On December 31, 2021 Kent Company agreed to restructuring the debt as follows:

a. Interest of P800,000 for 2021, due December 31, 2021 was made payable December 31, 2022.
b. Interest for 2022 was waived.
c. The principal amount was reduced to P7,000,000.

Required:

Problem 1: Prepare the entry record the debt restructuring on the books Colt Company

Reference no: EM132750102

Questions Cloud

Compute the net present value of this investment : The investment costs $53,700 and has an estimated $7,800 salvage value. Assume Peng requires a 10% return on its investments. Compute the net present value
What the company inventory for sunland market : As a result of these events, the company's inventory? Sunland's Market recorded the following events involving a recent purchase of inventory
Environments as basic model for information security : The CIA triad is widely referenced in today's information security environments as a basic model for information security.
Planning and managing change in organizations : Discuss the role of Leadership in planning and managing change in organizations.
Prepare the entry record the debt restructuring on the books : Colt Company is indebted to Kent Company under an P8,000,000, Prepare the entry record the debt restructuring on the books Colt Company
Best corporate governance practices : Attempt it with due diligence: "Best Corporate Governance Practices, for all intent and purposes rest on the shoulders of Independent Non-Executive Directors".
Security environments basic model for information security : The CIA triad is widely referenced in today's information security environments as a basic model for information security.
How much is the input taxes of July from the purchases : On August 1, 2018, Mr. S., a VAT taxpayer, made purchases of fixed assets as follows: How much is the input taxes of July from the purchases
Determine the required rate of return on tilden woods : Determine the required rate of return on Tilden Woods Corporation's common stock. The firm's beta is 1.33. The rate on a 10-year Treasury bond is 3.43 percent

Reviews

Write a Review

Financial Accounting Questions & Answers

  Financial statement analysis and preparation

Financial Statement Analysis and Preparation

  Shareholder of a company

Describe the ways that a person can become a shareholder of a company. Why Wal-Mart would split its stock?

  Financial and accounting principles

An understanding of financial and accounting principles can be a valuable tool for managers. While not all managers will find themselves calculating financial ratios or preparing annual financial data.

  Prepare a statement of cash flow using the direct method

Prepare a Statement of Cash Flow using the Direct Method and Prepare the Operations section of the Statement of Cash Flow using the Indirect Method.

  Financial accounting assignment

This assignment has one case study and two question apart from case study. Questions related to document Liquidation question and Company financial statements question - Torquay Limited

  Prepare general journal entries for goela

Prepare general journal entries for Goela Ltd

  Principles of financial accounting

Prepare the journal entry to record the acquisition of the assets.

  Prepare general journal entries to record the transactions

Prepare general journal entries to record the transactions, assuming use of the periodic inventory system

  Global reporting initiative

Compare the view espoused by the economist Milton Friedman about the social responsibilities of business with the views express by Stigler.

  Explain the iasb conceptual frameworks

Explain the IASB Conceptual Framework's perspective of users and their decisions.

  Determine the company''s financial statements

T he focus of the report is to determine the extent to which you are comfortable relying on the financial statements as presented by management .

  Computation of free cash flow

Computation of Free Cash Flow

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!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

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