Question
Carlock Systems received a 6-month, 12% note for $50,000 from a customer on November 1, 2018. The note is due on April 30, 2019. Assuming
Carlock Systems received a 6-month, 12% note for $50,000 from a customer on November 1, 2018. The note is due on April 30, 2019. Assuming the company's accounting period ends on December 31, how much interest revenue shoudl be recognized during 2018 and 2019?
The answer is: 2018 = $1,000 2019 = $2,000
How do you calculate this answer?
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EAuditing Fundamentals Virtual Communication And Remote Auditing
Authors: J.P. Russell, Shauna Wilson
1st Edition
0873898486, 978-0873898485
