Fashion Company uses the indirect method to prepare its statement of cash flows. Refer to the following portion of the comparative balance sheet: Additional information provided by the company includes the following:
During 2014, the company repaid $60,000 of Long-Term Notes Payable.
During 2014, the company borrowed $51,000 on a new Long-Term Note Payable.
With the help of T-account format, analyze the transactions affecting the Long-Term Notes Payable account.

Question

Fashion Company uses the indirect method to prepare its statement of cash flows. Refer to the following portion of the comparative balance sheet:  Additional information provided by the company includes the following:
During 2014, the company repaid $60,000 of Long-Term Notes Payable.
During 2014, the company borrowed $51,000 on a new Long-Term Note Payable.
With the help of T-account format, analyze the transactions affecting the Long-Term Notes Payable account.

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The Answer of Fashion Company uses the indirect method to prepare its statement of cash flows. Refer to the following portion of the comparative balance sheet:  Additional information provided by the company includes the following:
During 2014, the company repaid $60,000 of Long-Term Notes Payable.
During 2014, the company borrowed $51,000 on a new Long-Term Note Payable.
With the help of T-account format, analyze the transactions affecting the Long-Term Notes Payable account.

Fashion Company Uses the Indirect Method to Prepare Its Statement