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Interest and principal are repayable on 1/15/04.
6. On 1/15/03, bought equipment for $100. The equipment is expected to have an economic life of 100 months and zero salvage value thereafter.
7. On 1/15/03, paid $23 rent in advance for a store covering the period 1/16/03 to 12/31/03 (i.e., for 11.5 months).
8. On 1/15/03, bought inventory for cash, $40
9. On 1/15/03, signed a contract to buy $50 worth of inventory early in May ’03 for payment to be made thirty days thereafter.
10. Sold merchandize for $90, $60 cash sale and $30 for credit. The cost of this merchandize was $40.
11. Paid $20 to suppliers on account
12...
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