Rominger Company borrowed $10,000 from the bank by issuing a promissory note on June 1, 2014. The note had a six-month term and a 6 percent annual interest rate. On November 30, 2014, Rominger paid principal and interest on the note.
Required:
Show how the issuance of the note and payment of principal and interest at maturity affect the financial statements by using the horizontal model provided. Indicate the dollar amount of increases and decreases; enter NA if an item is not affected. In the cash flows column, designate cash flows as operating activities (OA), investing activities (IA. or financing activities (F

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The Answer of Rominger Company borrowed $10,000 from the bank by issuing a promissory note on June 1, 2014. The note had a six-month term and a 6 percent annual interest rate. On November 30, 2014, Rominger paid principal and interest on the note.
Required:
Show how the issuance of the note and payment of principal and interest at maturity affect the financial statements by using the horizontal model provided. Indicate the dollar amount of increases and decreases; enter NA if an item is not affected. In the cash flows column, designate cash flows as operating activities (OA), investing activities (IA. or financing activities (F

Rominger Company Borrowed $10,000 from the Bank by Issuing a Promissory