Question
1. The following transaction is for a non-interest bearing note reported by the gross amount. We receive $8,900 in exchange for payment of $10,000 due
1. The following transaction is for a non-interest bearing note reported by the gross amount.
We receive $8,900 in exchange for payment of $10,000 due one year from today.
Required: Show the original entry and the final payment in one year.
2. The following transaction is for a non-interest bearing note reported by the net amount.
We receive $8,900 in exchange for payment of $10,000 due one year from today.
Required: Show the original entry and the final payment in one year.
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Auditing And Assurance Services
Authors: David Ricchiute
5th Edition
0538869526, 978-0538869522
