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On December 1,2013,Gates Company Borrowed $45,000 Cash from First Bank

question 124

Essay

On December 1,2013,Gates Company borrowed $45,000 cash from First Bank on a 90-day,9% note payable.Gates is a calendar year company
a.Prepare Gate's general journal entry to record the issuance of the note payable.
b.Prepare Gate's general journal entry to record the accrued interest due at December 31,2013.
c.Prepare Gate's general journal entry to record the payment of the note on March 1,2014.
Assume no other entries related to this note were made in 2014.


Definitions:

Harmful

Referring to anything that can cause damage or adverse effects on living organisms or the environment.

Nonpolar Covalent

A type of chemical bond where two atoms share a pair of electrons with each other equally because they have similar electronegativities.

Polar Covalent

A polar covalent bond is a type of chemical bond where a pair of electrons is unequally shared between two atoms, leading to a molecule with partial positive and negative charges.

Hydrogen

A chemical element with symbol H and atomic number 1, being the lightest and most abundant element in the universe.

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