Question
On May 17, Otay Olive Co. accepted a $6,500, 8%, 90-day note from a customer. On June 11, the note was discounted at 10%. At
On May 17, Otay Olive Co. accepted a $6,500, 8%, 90-day note from a customer. On June 11, the note was discounted at 10%. At maturity date, the note was dishonored and the bank charged a $25 protest fee. The amount that Otay Olive Co. would debit to Notes Receivable Dishonored is
| a. | $6,655.00 |
| b. | $6,535.29 |
| c. | $6,525.00 |
| d. | $6,130.00 |
Please explain the answer.
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Business Finance: Theory And Practice
Authors: Eddie McLaney
6th Edition
9780273673569
