Taylor Stores Ltd accepts from Leonard Ltd a \($3400,\) 90-day note dated 10 May in settlement of Leonard Ltd’s overdue account. What is the maturity date of the note? What entry is made by Taylor Stores Ltd at the maturity date, assuming Leonard Ltd pays the note in full at that time?

When the due date is stated in terms of days, it is necessary to count the exact number of days to determine the maturity date. The date the note is issued is omitted from the count, but the due date is included.
The entry to record interest at maturity in this solution assumes that no interest has previously accrued on this note.