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On November 1, 2020, Dewey, Cheatem, & How Bank loaned Betty Corporation $100,000. In return, the Bank received a 90-day note from Betty promising
On November 1, 2020, Dewey, Cheatem, & How Bank loaned Betty Corporation $100,000. In return, the Bank received a 90-day note from Betty promising to repay the $100,000 plus interest at an annual rate of 6%. Assuming a 360-day year-- thus, 60 days have elapsed from November 1, 2020, until December 31, 2020-which is the last day of the bank's accounting period. What is the dollar amount of interest revenue that the Bank should record via an adjusting journal entry on December 31, 2020? Multiple Choice $6,000 $1,000 $4,500 $1,500 D
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