Blue Spruce Co. receives $2,430,000 when it issues a $2,430,000, 7%, mortgage note payable to finance the construction of a building at December 31, 2019. The terms provide for annual installment payments of $279,000 on December 31. Prepare the journal entries to record the mortgage loan and the first two installment payments. (Credit account titles are automatically indented when the amount is entered. Do not indent manually.)
Date Account Titles and Explanation Debit Credit Issuance of Note Dec. 31, 2019
enter an account title for the journal entry on December 31, 2016
enter a debit amount enter a credit amount
enter an account title for the journal
entry on December 31, 2016
enter a debit amount
enter a credit amount First Installment Payment Dec. 31, 2020
enter an account title for the journal entry on December 31, 2017
enter a debit amount enter a credit amount
enter an account title for the journal entry on December 31, 2017
enter a debit amount enter a credit amount
enter an account title for the journal entry on December 31, 2017
enter a debit amount enter a credit amount
Second Installment Payment Dec. 31, 2021
enter an account title for the journal
entry on December 31, 2018
enter a debit amount enter a credit amount
enter an account title for the journal entry on December 31, 2018
enter a debit amount enter a credit amount
enter an account title for the journal
entry on December 31, 2018
enter a debit amount
enter a credit amount Attempts: 0 of 1 used