Name : Abdul Qodir

Class : 3-H / Management Accouting

NIM : 1942520011

PT REVI MITRA POLINDO

CASE 9 : CURRENT LIABILITY AND BANK PAYABLE

The following are some summaries of transactions related to current debt of PT. Revi Mitra
Polindo Trading:
a. 11 Januari 2016 The Company receives payment from customers of Rp.
1.000.000,- for goods to be shipped in the following year.
b. The company needed funds to develop the company, so the management decided
to borrow cash from BCA Bank on February 1, 2016 with amount of Rp.
50,000,000, -. An interest of 15% per year from the principal must be paid in
installments for 5 years. Payment of loan installments and interest is made at the
beginning of each month.
c. Since July 2016 the company decided to provide a 3 month warranty for damage
to its products.  It is estimated that 10% of the products sold will use this
warranty opportunity. It is estimated that 10% of the products using this
opportunity will require a repair cost of 15% of the selling price. The sales data
and actual repair costs that occurred during the last 6 months are as follows:
Month Sales Services Fee
July Rp. 1.050.000,- Rp. 6.000,-
August Rp. 900.000,- Rp. 11.000,-
September Rp. 1.000.000,- Rp. 12.500,-
October Rp. 1.100.000,- Rp. 15.000,-
November Rp. 975.000,- Rp. 15.150,-
December Rp. 1.200.000,- Rp. 21.475,-
d.
 The company issued interest-free promissary notes dated March 1, 2016
of Rp. 600.000, - a period of 3 months to replace the company's trade
payables.
 On April 1, 2016, the company's promissary notes payable dated
December 1, 2015 of Rp. 500,000, - with 10% interest that was due, but
it was not able to be paid.
 On May 1, the company paid the promissary notes payable on March 1,
2016.

Requested:
Prepare journal entries during 2016!
Calculations
1. Make the journal for 11 January 2016 unearned revenue transaction
Answer:

Date Description Debit Credit

2016 11 BCA Bank Rp 1.000.000
Jan Prepaid Order Rp 1.000.000

2. Count the installment payment and interest for each month. Record the long
term debt maturing in the current period. Also record each month installment
payment.
Answer:

Journal for Loan Development

Date Description Debit Credit

2016 1 BCA Bank Rp 50.000.000
Feb Bank Payable Rp 50.000.000

Installment Calculation
Installment per month = Rp 50.000.000 : (5x12) = Rp 833.333
Interest per month = Rp 50.000.000 x 15% = Rp 7.500.000
Rp 7.500.000 : (5x12) = Rp 125.000
Installment Journal
The Installment is paid monthly, so every month starts from 1st March – 1st
December 2016 will bet he same journal.

Date Description Debit Credit

2016 1 Long-Term Bank Payable Due in One Rp 833.333
Period
Feb Interest Expense Rp 125.000
BCA Bank Rp 958.333

3. Fill in the table:

Estimation of
products Estimation of
using the repair cost
Month Sales Services Fee
guarantee (15% of the
(10% from selling price)
sales)
July Rp 1.050.000 Rp 105.000 Rp 15.750 Rp 6.000
August Rp 900.000 Rp 90.000 Rp 13.000 Rp 11.000
Sept Rp 1.000.000 Rp 100.000 Rp 15.000 Rp 12.500
Oct Rp 1.100.000 Rp 110.000 Rp 16.500 Rp 15.000
Nov Rp 975.000 Rp 97.500 Rp 14.625 Rp 15.150
Dec Rp 1.200.000 Rp 120.000 Rp 18.000 Rp 21.475
Total Rp 6.225.000 Rp 622.500 Rp 93.375 Rp 81.125

Journal for recording the estimation of warranty

Date Description Debit Credit
(2016)
July 1 Warranty Expense Rp 15.750
Estimated warranty payable Rp 15.750
Agt 1 Warranty Expense Rp 13.500
Estimated warranty payable Rp 13.500
Sept 1 Warranty Expense Rp 15.000
Estimated warranty payable Rp 15.000
Oct 1 Warranty Expense Rp 16.500
Estimated warranty payable Rp 16.500
Nov 1 Warranty Expense Rp 14.625
Estimated warranty payable Rp 14.625
Dec 1 Warranty Expense Rp 18.000
Estimated warranty payable Rp 18.000

Journal for recording the actual services payment

Date Description Debit Credit
(2016)
July 1 Estimated warranty payable Rp 6.000
BCA Bank Rp 6.000
Agt 1 Estimated warranty payable Rp 11.000
BCA Bank Rp 11.000
Sept 1 Estimated warranty payable Rp 12.500
BCA Bank Rp 12.500
Oct 1 Estimated warranty payable Rp 15.000
BCA Bank Rp 15.000
Nov 1 Estimated warranty payable Rp 15.150
BCA Bank Rp 15.150
Dec 1 Estimated warranty payable Rp 21.475
BCA Bank Rp 21.475

4.
Record the journal for the 1st March 2016 transaction.
For the 1st April transaction, count the interest expense for 1st Dec – 1st April
2016. Then record the journal.
 Record the journal for promissory notes payment in 1st March 2016.
Answer:

Journal for Interest-Fee Promissory Issuance

 Date Description Debit Credit
2016 1 Accounts Payable Rp 600.000
Mar Promissory Notes Payable Rp 600.000

Journal for Interest Expense

Interest Expense Calculation:

4/12 x 10% x Rp 500.000 = Rp 16.667

Date Description Debit Credit

2016 1 Promissory Notes Payable Rp 500.000
Apr Interest Expense Rp 16.667
Accounts Payable Rp 516.667

Journal for Interest-Fee Promissory Issuance

Date Description Debit Credit

2016 1 Promissory Notes Payable Rp 600.000
May BCA Bank Rp 600.000