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Trent Distributors Has the Following Transactions Related to Notes Receivable

question 178

Essay

Trent Distributors has the following transactions related to notes receivable during the last two months of the year.
Dec. 1 Loaned $16,000 cash to E. Kinder on a 1-year, 6% note.
16 Sold goods to J. Jones, receiving a $4,800, 60-day, 7% note.
31 Accrued interest revenue on all notes receivable.
Instructions
Journalize the transactions for Trent Distributors.


Definitions:

Facilitation Payment

A type of bribe made to expedite or secure the performance of a routine or necessary action to which the payer is legally entitled.

Utilitarian

A philosophy which suggests that actions are right if they are beneficial for the majority, emphasizing the greatest happiness for the greatest number.

Greatest Good

A principle in utilitarian ethics focused on actions that result in the greatest benefit or happiness for the largest number of people.

Cognitive Moral Development

A theory proposed by Lawrence Kohlberg that suggests people progress through different stages of moral reasoning as their cognitive abilities mature.

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