Principles of Financial Accounting Exam 1 Questions And Answers

Principles of Financial Accounting Exam 1
Questions And Answers

Long term note at issuance Dr Cash


Cr Note Payable




Long term note at interest payment Dr Interest Expense


Cr Cash




Installment Note at Issuance Dr (whatever the asset is)


Cr Note Payable




Installment Note Payment Dr Interest Expense


Dr Note Payable

Cr Cash




Beginning of lease, finance type, lessee Dr Right of Use Asset (PV of payment)


Cr Lease Payable (PV of payment)

, Principles of Financial Accounting Exam 1
Questions And Answers
Beginning of lease, finance type, lessor no selling profit Dr Lease Receivable


Cr Equipment




Beginning of lease, finance type, with selling profit Dr Lease Receivable


Dr COGS

Cr Equipment

Cr Revenue




first lease payment lessee Dr Lease Payable


Cr Cash




first lease payment lessor Dr Cash


Cr Lease Receivable




second lease payment lessee Dr Interest Expense


Dr Lease Payable

Cr Cash