Instruction: Determine the maturity value of the following notes:

MATURITY VALUE

1.A P 50,000 8% 90-day note

2.A P 30,000 9% 30-day note

3.A P 260,000 6% 120-day note

4.A P 1O,000 10% 45-day note

5.A P 20,000 7% 60-day note

A P 12,000 6% 360-day note is dated March 1,2020. Compute the amount of interest that the note earns on the following dates:

Amount of Interest

March 30, 2020

April 30, 2020

July 31, 2020

December 31, 2020

At maturity date

1. Ms. Jocelyn Te, borrowed money from Ms. Corazon Aba P 20,000 where the former issued a 6%, 30-day note to the latter.

Required:

1. Calculate the amount of interest that the note will earn at maturity date.

2. Calculate the maturity value of the note.

3. Comparative journal entries (without explanation) recording the transactions on their respective books. Use the spaces provided below:

Book of Ms. Jocelyn Te Book of Ms.Corazon Abarquez

a.) Upon issuance of the note a.) Upon receipt of the note

and receipt of money from and release of money to Ms. Te

Ms. Abarquez

b.) Upon payment of the note b.) Upon receipt of cash (both

together with the interest principal and interest earned)

at maturity date. At maturity date.