On June 30, 2015, Nature Bank loaned $2,000,000 to Gary Simon on a one-year, 7% note. Requirements

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On June 30, 2015, Nature Bank loaned $2,000,000 to Gary Simon on a one-year, 7% note.

Requirements

1. Compute the interest for the years ended December 31, 2015 and 2016, on the Simon note.

2. Which party has

a. A note receivable?

b. A note payable?

c. Interest revenue?

d. Interest expense?

3. How much in total would Simon pay the bank if he pays off the note early-say, on January 31, 2016?

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Financial Accounting

ISBN: 978-0133375534

2nd Canadian edition

Authors: Jeffrey Waybright, Robert Kemp, Sherif Elbarrad

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Question Posted: Feb 12, 2018 10:35 AM

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On June 30, 2015, Nature Bank loaned $2,000,000 to Gary Simon on a one-year, 7% note. Requirements

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Req 1 Interest for 2015 2000000 x 007 x 612 70000 2016 2000000 x 00...View the full answer

Financial Accounting

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