Question 8 Record the following transactions for Redeker Co

Question 8 Record the following transactions for Redeker Co, in the general journal. (Record journal entries in the order presented in the problem. Credit account titles are automatically indented when amount is entered. Do not indent manually.) 2017 May 1 Received a S42.750, 12 months, 12% note in exchange for Mark Chamber\'s outstanding accounts rece Dec. 31 Accrued interest on the Chamber note. Dec. 31 Closed the interest revenue account. 2018 May 1 Received principal plus interest on the Chamber note. (No interest has been accrued in 2018.) Date Account Titles and Explanation Debit Credit (To record accrued interest on note.) (To close the interest revenue account.)

Solution

Solution:

Chamber Note. Dr

Date	Account Title	Debit	Credit
May1	Chamber Note Dr.	42,750
	To Account receivable/ Mark chamber. A/c.		42,750
Dec 31	Chamber Note. Dr	3,420
	To Interest revenue		3,420
	(To record accrued interest on note)
Dec 31	interest revenue. Dr	3,420
	To retained earnings		3,420
	(To close the interest revenue Account)
2018
May 1	Cash. Dr.	47,880
	To chamber note		46,170
	To interest revenue		1,710