For the Following Transaction,provide All of the Required Journal Entries

question 89

Essay

For the following transaction,provide all of the required journal entries from inception to liquidation.Assume a December 31 year end and that the company does not prepare interim statements.Round all amounts to nearest dollar.
$\begin{array}{lr}\text { Face value of note payable } & \$ 200,000 \\\text { Date of issue for note } & \text { March } 1,2016 \\\text { Due date for note } & \text { March } 1,2017 \\\text { Interest rate in the note } & 0 \% \\\text { Market rate of interest } & 5 \% \\\text { Consideration received Machinery }\end{array}$

---

Definitions:

Socialist System of Economy

An economic system where the means of production are owned and controlled by the state or public, aiming for equal distribution of wealth and resources.