9 HW 6 Help Save Saved pter 4 Tyrell Co entered into the fo

9 HW 6 Help Save & Saved pter 4 Tyrell Co. entered into the following transactions involving short-term liabilities in 2016 and 2017 2016 Apr. 28 Purchased $38,500 of merchandise on credit from Locust, terms n/3. Tyrell uses the perpetual inventory system. t 4 of 5 May 19 Replaced theApril 20 account payable to Locust with a 90-day, $35,000 note bearing 9% annual interest along with paying $3,50e in cash July 8 Borrowed 554,e00 cash from NER Bank by signing 120-day, 1ex interest-bearing note with a face value of $54,000 Paid the amount due on the note to Locust at the maturity date. Paid the amount due on the note to NBR Bank at the maturity date. nts Nov. 28 Borrowed $30,000 cash from Fargo Bank by signing a 60-day, 7% interest-bearing note with a face value of Dec. 31 Recorded an adjusting entry for accrued interest on the note to Fargo Bank. 2017 $30,800 eBook Paid the amount due on the note to Fargo Bank at the maturity date. 4. Determine the interest expense to be recorded in 2017. (Do not round intermediate calculetions and round your final enswers to nearest whole dollar. Use 360 deys a year.) Year end accrual required for: Fargo Bank Principal x Rate TimeInterest Interest to be recorded in 2017 Prev 45 of51:: Next > e here to search SAMSUNG

Solution

4.

Note: Interest = $30000 x 7% x 27/360 = $157.50 rounded off to $158.

Year end accrual required for:	Fargo Bank
	Principal	x	Rate	x	Time	=	Interest
Interest to be recorded in 2017	30000	x	7%	x	27	=	158