Do It! Review 10-1a Partially correct answer. Your answer is partially correct.

1. If cash is borrowed on a $61,200, 11-month, 10% note on August 1, how much interest expense would be incurred by December 31?

2. The cash register total including sales taxes is $43,470, and the sales tax rate is 5%. What is the sales taxes payable?

3. If $43,470 is collected in advance on November 1 for 6-month magazine subscriptions, what amount of subscription revenue should be recognized on December 31?