Question

journal entry worksheet
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accepted a $12,000, 8%, 90 - day note in granting a time extension on the past - due account receivable of tomas company.
note: enter debits before credits.
date general journal debit credit
march 03

Explanation:

Step1: Identify accounts affected

When accepting a note for a past - due accounts receivable, the Notes Receivable account is debited and the Accounts Receivable account is credited.

Step2: Determine debit amount

The face value of the note is $12,000, so Notes Receivable is debited for $12,000.

Step3: Determine credit amount

The amount of the past - due accounts receivable (equal to the face value of the note) is $12,000, so Accounts Receivable is credited for $12,000.

Answer:

Date	General Journal	Debit	Credit
March 03	Accounts Receivable - Tomas Company		$12,000