Prepare Journal Entries for the Following Transactions

question 9

Essay

Prepare journal entries for the following transactions:
a. On November 1, Year 1, Slotkin Co. received a $1,000 note receivable with a 90-day maturity and a 12% interest rate in exchange for an outstanding account receivable of the same face amount.

b. Assume Slotkin Co. closes its books on a monthly basis. Prepare any adjusting journal entries necessary at November 30, Year 1.

c. Prepare any adjusting journal entries necessary at December 31, Year 1.

---

Definitions:

Congestive Heart Failure

A condition where the heart's function as a pump is inadequate to meet the body's needs, leading to symptoms such as shortness of breath.

Leukemia

A type of cancer of the body's blood-forming tissues, including the bone marrow and the lymphatic system, leading to an increase in white blood cells that can impair the body's ability to fight infection.

Circulatory

Pertaining to the circulation, especially the movement of blood through the heart and blood vessels.

Congestive Heart Failure

A chronic condition where the heart doesn't pump blood as well as it should, leading to symptoms like shortness of breath, edema, and fatigue.