On January 1,2018,Belview,Inc

question 149

Essay

On January 1,2018,Belview,Inc.issued long-term notes payable for $50,000.The note will be paid over 10 years with payments of $5,000 plus 12% interest due each January 1,beginning January 1,2019.The amortization schedule for the first three payments is provided.Prepare the journal entries for the issuance of the note and for the January 1,2020 note payment.Omit explanation.
$$\begin{array} { | l | r | r | r | r | r | } \hline & \begin{array} { c } \text { Beginning } \\\text { Balance }\end{array} & \begin{array} { c } \text { Principal } \\\text { Payment }\end{array} & \begin{array} { c } \text { Interest } \\\text { Expense }\end{array} & \begin{array} { c } \text { Total } \\\text { Payment }\end{array} & \begin{array} { c } \text { Ending } \\\text { Balance }\end{array} \\\hline \mathrm { p } 1 / 01 / 2018 & & & & & \$ 50,000 \\\hline \mathrm { p } 1 / 01 / 2019 & \$ 50,000 & \$ 5,000 & \$ 6,000 & \$ 11,000 & 45,000 \\\hline \mathrm { p } 1 / 01 / 2020 & 45,000 & 5,000 & 5,400 & 10,400 & 40,000 \\\hline \mathrm { p } 1 / 01 / 2021 & 40,000 & 5,000 & 4,800 & 9,800 & 35,000 \\\hline\end{array}$$

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Definitions:

Actively Transports

The process of transporting materials through cellular barriers against the direction of concentration differences, necessitating the use of energy.

Active Transport

The migration of molecules from a lower concentration zone to a higher concentration zone across a cell's membrane, an action that requires energy.

Concentration Gradient

The gradual difference in the concentration of solutes in a solution between two regions, often leading to the movement of molecules along the gradient during diffusion.

Molecules

The smallest unit of a chemical compound that can exist while retaining the properties of that compound.