Question
E5-29A (Apply GAAP for notes receivable) Record the following note receivable transactions in the journal of Arabian Realty. How much interest revenue did Arabian earn
E5-29A
(Apply GAAP for notes receivable) Record the following note receivable transactions in the journal of Arabian Realty. How much interest revenue did Arabian earn this year? Use a 365-day year for interest computations, and round interest amounts to the nearest dollar. Arabian Realty has an October 31 fiscal year-end.
| Aug | 1 | Loaned $10,000 cash to Candace Smith on a one-year, 7% note. |
| Oct | 6 | Performed service for Putt Pro, receiving a 90-day, 6% note for $15,000. |
| Oct | 16 | Received a $2,000, six-month, 11% note on account from Vernon, Inc. |
| Oct | 31 | Accrued interest revenue for the year. |
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Accounting And Finance For Non Specialists
Authors: Eddie McLaney, Peter Atrill
2nd Edition
0135717469, 9780135717462
