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Note Receivable

Prefix Supply Company received a 120-day, 8% note for $450,000, dated April 9 from a customer on account. Assume 360 days in a year.

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a. Determine the due date of the note.

April 21August 7July 31June 30May 31August 7

b. Determine the maturity value of the note. $fill in the blank 70e5b8f59008021_2

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The due date is the date the note is to be paid.

Assume a 360 day year. The maturity value is the amount that must be paid at the due date of the note.

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c. Journalize the entry to record the receipt of the payment of the note at maturity. If an amount box does not require an entry, leave it blank.

Aug. 7	CashInterest ReceivableInterest RevenueNotes ReceivableNotes PayableUnearned Interest	- Select -	- Select -
	Accounts ReceivableCashInterest ReceivableNotes ReceivableNotes PayableUnearned Interest	- Select -	- Select -
	CashInterest ReceivableInterest RevenueInterest PayableNotes PayableUnearned Interest	- Select -	- Select -

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At the due date, the company records the receipt of payment on the note.

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Partially correct