Question
Note receivable Prefix Supply Company received a 120-day, 9% note for $84,000, dated April 12 from a customer on account. Assume 360-days in a year.
Note receivable
Prefix Supply Company received a 120-day, 9% note for $84,000, dated April 12 from a customer on account. Assume 360-days in a year.
a. Determine the due date of the note.
August 10April 21July 31June 30May 31August 10
b. Determine the maturity value of the note.
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.
| Account | Debit | Credit | |
|---|---|---|---|
| Cash | |||
| Notes Receivable | |||
| Interest Revenue |
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Financial and Managerial Accounting
Authors: Horngren, Harrison, Oliver
3rd Edition
978-0132497992, 132913771, 132497972, 132497999, 9780132913775, 978-0132497978
