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Mar. 17 Accounts receivable of $1,700 were written off as uncollectible. The company uses the allowance method. 30 Loaned an officer of the company $20,000
Mar. 17 | Accounts receivable of $1,700 were written off as uncollectible. The company uses the allowance method. | |
30 | Loaned an officer of the company $20,000 and received a note requiring principal and interest at 7% to be paid on March 30, 2017. | |
May 30 | Discounted the $20,000 note at a local bank. The bank's discount rate is 8%. The note was discounted without recourse and the sale criteria are met. |
I don't know how to calculate the journal entry for recording the cash received on the discounted note onMay 30
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