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On June 3, 20X1, Alaska State Company received a $5,600, 60-day, 12 percent note from Samuel Adams, a customer whose account was past due. The
On June 3, 20X1, Alaska State Company received a $5,600, 60-day, 12 percent note from Samuel Adams, a customer whose account was past due. The note was discounted on June 18, 20X1 at the Second State Bank and Trust. The bank charged a discount rate of 14%. Required: 1. Prepare the journal entries regarding this note. (Use 360 days a year. Round your answers to 2 decimal places.) Answer is not complete. No 1 Date June 03, 20X1 General Journal Notes receivable Accounts receivable/Samuel Adams 2 June 18, 20X1 Cash Notes receivable-Discounted Interest income 00 000 Debit Credit 5,600.00 5.600.00 5,600.00 32.67
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