Question
On February 1, 20X1, Singer, Inc. received a $100,000, nine-month, 10% interest-bearing note from a customer. The note was discounted on April 1, 20X1 at
On February 1, 20X1, Singer, Inc. received a $100,000, nine-month, 10% interest-bearing note from a customer. The note was discounted on April 1, 20X1 at Second National Bank at 12%. Required: a. Compute the amount of cash received by Singer from the bank. b. Prepare the journal entry to record the discounting of the note.
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Accounting
Authors: Michael J. Jones
2nd Edition
0470017791, 978-0470017791
