The Following Unadjusted Amounts Were Taken from a Company's Accounting $\begin{array}{|l|l|} \hline \text { Current Assets } & \text { Current Liabilities }\\\hline \\\\\\\\\\\\\hline\end{array}$

question 73

Essay

The following unadjusted amounts were taken from a company's accounting records at December 31,Year 1:
Note Payable,6%,four-month,dated December 1,Year 1,for $500,000
Note Receivable,12%,six-month,dated October 1,Year 1,for $400,000
A) Prepare any adjusting entries necessary at December 31 , Year 1 , for the notes.
B) Fill in the partial balance sheet below by showing the notes and the effects of any adjustments related to the notes.
$\begin{array}{|l|l|} \hline \text { Current Assets } & \text { Current Liabilities }\\\hline \\\\\\\\\\\\\hline\end{array}$

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Definitions:

Green Olivine

A green-colored, magnesium-iron silicate mineral often found in igneous rocks, indicative of certain geological conditions.

Mantle

The thick layer of rock between Earth's crust and its outer core, responsible for plate tectonics and volcanic activity due to convection currents.

Proton

Principal particle of an atomic nucleus with a positive charge.

Neutron

A subatomic particle that contributes mass to a nucleus and is electrically neutral.