Financial Transactions Workbook: Mortgages, Leases, and Bonds

Question 1 S15-18 - Mortgage You qualified for a student loan in the amount of $10,000. Once you graduate, you are required to repay this loan over 10 years at a rate of interest of 4 percent. The monthly interest and principal repayments are calculated like a mortgage. The following table illustrates the first four payments beginning December 1, 2020. Using the information from the table, record the journal entry for January 1, 2021. DateAccount Title/ ExplanationDebitCredit Jan1Interest Expense33.11 Loan/Mortgage Payable68.14 Cash101.25 To record a blended