1. On October 1, 2013, Microchip lent $90,000 to another company. A note was signed with
principal and 8% interest to be paid on September 30, 2014.
On November 1, 2013, the company paid its landlord $6,000 representing rent for the months of
November through January. Prepaid rent was debited.
On August 1, 2013, collected $12,000 in advance rent from another company that is renting a
portion of Microchip
1.
On October 1, 2013, Microchip lent $90,000 to another company. A note was signed with
principal and 8% interest to be paid on September 30, 2014.
2.
On November 1, 2013, the company paid its landlord $6,000 representing rent for the months
of November through January. Prepaid rent was debited.
3.
On August 1, 2013, collected $12,000 in advance rent from another company that is renting a
portion of Microchip
Solution
1.
On October 1, 2011, Microchip lent $90,000 to another company. A note was signed with
principal and 8% interest to be paid on September 30, 2012.
Interest Recievable
Interest Revenue
2.
On November 1, 2011, the company paid its landlord $6,000 representing rent for the months of
November through January. Prepaid rent was debited.
Rent Expense
Prepaid Rent
3.
On August 1, 2011, collected $12,000 in advance rent from another company that is renting a
portion of Microchip