Keesha Co. borrows $225,000 cash on December 1 of the current year by signing a 180-day, 10%, $225,000 note.

1. On what date does this note mature? 2. & 3. What is the amount of interest expense in the current year and the following year from this note? 4. Prepare journal entries to record (a) issuance of the note, (b) accrual of interest on December 31, and (c) payment of the note at maturity.

Complete this question by entering your answers in the tabs below.

• Req 1
• Req 2 and 3
• Req 4

On what date does this note mature? (Assume that February has 28 days)

On what date does this note mature?

What is the amount of interest expense in the current year and the following year from this note? (Use 360 days a year. Round final answers to the nearest whole dollar.)

	Total through maturity	Interest Expense Current Year	Interest Expense Following Year
Principal
Rate (%)
Time
Total interest

Journal entry worksheet

Note: Enter debits before credits.

Transaction	General Journal	Debit	Credit
(a)