On October 1,2011, Coast Financial loaned Barr Corporation ($ 300,000), receiving in exchange a nine-month, 12 percent
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On October 1,2011, Coast Financial loaned Barr Corporation \(\$ 300,000\), receiving in exchange a nine-month, 12 percent note receivable. Coast ends its fiscal year on December 31 and makes adjusting entries to accrue interest earned on all notes receivable. The interest earned on the note receivable from Barr Corporation during 2012 will amount to:
a. \(\$ 9,000\).
b. \(\$ 18,000\).
c. \(\$ 27,000\).
d. \(\$ 36,000\).
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Related Book For
Financial Accounting
ISBN: 9780077328702
15th Edition
Authors: Jan Williams, Sue Haka, Mark Bettner, Joseph Carcello
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