Page 57 - Account for Ag - 2019
P. 57

CH 9]                      Accounting for Notes & Interest                              9-21



                                                           Name:


                4.   On December 31, the end of the fiscal year, Steve Twite is contingently liable for $15,00 of customer's notes that he has discounted.

                    (a) Why should this fact be disclosed on his balance sheet as of December 31?  (b) How should this be disclosed?

                   (a)     ____________________________________________________________________________
                   ________________________________________________________________________________
                   ________________________________________________________________________________
                   ________________________________________________________________________________


                   (b) ______________________________________________________________________________
                   ________________________________________________________________________________
                   ________________________________________________________________________________
                   ________________________________________________________________________________
                   ________________________________________________________________________________
                   ________________________________________________________________________________









































                                                                                                                9



                                                   Copyright Material
   52   53   54   55   56   57   58   59   60   61   62