User Account

All Pages

Prepare the journal entries to record transaction

Assignment Help Accounting Basics
Reference no: EM132845525

Question - Versatile Company, after having experienced financial difficulties in 2020, negotiated with a major creditor and arrived at an agreement to restructure a note payable on December 31, 2020.

The creditor was owed principal of 3,600,000 and interest of 400,000 but agreed to accept equipment worth 700,000 and note receivable from a Versatile Company customer with carrying amount of 2,700,000.

The equipment had an original cost of 900 000 accumulated depreciation of 300,000.

Required - Prepare the journal entries to record transaction.

Reference no: EM132845525

Questions Cloud

Who would represent the talented tenth of today : Are DuBois' ideas still relevant in the 21st century? Why or why not? If they are still relevant, who would represent the "talented tenth" of today?
What percent of the sat verbal scores are less : Use the normal distribution of SAT critical reading scores for which the mean is 507 and the standard deviation is 115. Assume the variable x is normally distri
Discuss the concepts of hypothesis testing : Discuss the concepts of hypothesis testing, including what you are evaluating, when it should be used, and the differences between a one- and a two-tailed test.
How did booker t washington think that blacks could improve : How did Booker T. Washington think that blacks could improve their circumstances in the South? What did he ask them to give up, at least temporarily?
Prepare the journal entries to record transaction : The equipment had an original cost of 900 000 accumulated depreciation of 300,000. Prepare the journal entries to record transaction
How should we quantify and favour in simpler classifier : How should we quantify and favour in simpler Classifier? Can we predict the how well system will generalise novel pattern?
How the shape of the distribution can give us hints : 1. Given a data set, describe how the shape of the distribution can give us hints about the mean, variance and standard deviation
Independent world expansion plan : Independent World Ltd has 3 options for business expansion. The first option is to acquire Great Wall Co. at a price of USD 10,000. For this first choice
What the nadir of race relations was : What the "Nadir" of race relations was and its impact on American History and the African American Experience During the late 19th and early 20th centuries.

Reviews

Write a Review

Accounting Basics Questions & Answers

  Theory to educate and further a healthy family structure

The term system theory is a theoretical and methodological practice. With these practices comes a wide range of different disciplines. For Social workers he or she uses the system theory to gain a better understanding of family dynamics. Social wo..

  Prepare the liabilities section of O Brians balance sheet

Prepare the liabilities section of O'Brian's balance sheet using the following information: Accounts payable $157,000, Notes payable (due May 1, 2018) $20,000 and Bonds payable (due 2021) $900,000

  Calculate the weighted average cost of capital

Calculate the weighted average cost of capital for CTRL using the market valuation approach (show your workings).

  How can disney most effectively capture

How can Disney most effectively capture the presumed advantages of such acquisitions? What are the major risks of this strategy

  Compute the materials price and quantity variances

Pillow Talk manufactures luxury down bed pillows. Compute materials price and quantity variances and indicate whether variances are favorable or unfavorable

  Department a had no beginning inventory the department

department a had no beginning inventory. the department added direct materials of 120000 and conversion costs of 176000

  What is the lump-sum equivalent cost of this project

A certain fluidized-bed combustion vessel has an investment cost of $100,000, what is the lump-sum equivalent cost of this project at the present time

  Which is not an advantage of a partnership

Peter had loaned the firm $5,000 six months before Jack was admitted; Rick had loaned the firm $8,000 three months after Jack was admitted. Jack has

  Compute dollar ending inventory if weighted average is used

Calculate ending inventory and cost of goods sold using the last in, first out (LIFO); moving; and weighted average methods.

  Which of the following statements is not considered a

which of the following statements is not considered a disadvantage of the corporate form of organization?a.

  Using the abc system what percentage of the product design

hickory company manufactures two productsacirceuro14000 units of product y and 6000 units of product z. the company

  Collins corporation purchased office equipment

Ignoring income taxes, prepare the appropriate correcting entry for the equipment capitalization error discovered in 2011.

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