On the last day of October, Thornton Company borrows $240,000 on a bank note for 60 days

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On the last day of October, Thornton Company borrows $240,000 on a bank note for 60 days at 11 percent interest. Interest is not included in the face amount. Prepare the following journal entries:

(1) October 31, recording of note;

(2) November 30, accrual of interest expense;

(3) December 30, payment of note plus interest.

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Financial Accounting

ISBN: 978-0538476010

11th edition

Authors: Belverd E. Needles, Marian Powers

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Question Posted: Sep 10, 2014 11:39 AM

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On the last day of October, Thornton Company borrows $240,000 on a bank note for 60 days

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