Tardif Corporation adjusts its books monthly. On September 30, 2015, notes recei

Question

Tardif Corporation adjusts its books monthly. On September 30, 2015, notes receivable include the following: Issue Date Mar. 31, 2015 RES Inc. May 31, 2015 Ihara Ltd Aug. 31, 2015 Dragon Limited Sept. 30, 2015 MGH Corp Maker Principal $17,600 18,200 6,400 20,100 Interest 896 4% 5% 7% Term 7 months 18 months 2 months 16 months Interest is due at maturity for the RES and Dragon notes. Interest is due on the first day of the month for the Ihara and MGH notes. At September 30, the balance in the Allowance for Doubtful Notes account is nil. In October, the following selected transactions were completed 1 31 Received notice that Dragon was unable to pay its note as scheduled. It expects to be able to pay in the future 31 The RES note matured and was received in full 31 Accrued interest on the Ihara and MGH notes. 31 Analyzed the remaining notes for collectibility. Estimated that $18,200 of notes may not be collectible in the future because of significant labour issues currently Oct. Received the interest due from Ihara and MGH being experienced by Ihara (a) Calculate the balance in the Interest Receivable and Notes Receivable accounts at September 30, 2015. (Round answers to 0 decimal places, e.g. 5,275.) Balance in the Interest Receivable Balance in the Notes Receivable

Explanation / Answer

Balance in interest receivable = (17600*8%*6/12+18200*4%*4/12+6400*5%*1/12+20100*7%*0/12) = 973

Balance in notes receivable = (17600+18200+6400+20100) = 62300

Related Questions

Navigate

• Browse (All)
• Browse T
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.