Question
On July 8, Jones Inc. issued an $69,500, 12%, 120-day note payable to Miller Company. Assume that the fiscal year of Jones ends on July
On July 8, Jones Inc. issued an $69,500, 12%, 120-day note payable to Miller Company. Assume that the fiscal year of Jones ends on July 31. Using the 360-day year, what is the amount of interest expense recognized by Jones in the current fiscal year? Round your answer to the nearest whole dollar.
a.$1,158
b.$533
c.$695
d.$1,390
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Financial Accounting
Authors: Jerry J. Weygandt, Paul D. Kimmel, Donald E. Kieso
7th Edition
978-0470477151, 978-0-470-5562, 470556242, 0-470-55624-2, 9780470556245, 978-0470507018
