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On September 1, 2020, Coffee Ltd. issued a $ 1,800,000, 12% note to Humungous Bank, payable in three equal annual principal payments of $ 600,000.
On September 1, 2020, Coffee Ltd. issued a $ 1,800,000, 12% note to Humungous Bank, payable in three equal annual principal payments of $ 600,000. On this date, the bank's prime rate was 11%. The first payment for interest and principal was made on September 1, 2021. At December 31, 2021, Coffee should record accrued interest payable of
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Intermediate Accounting principles and analysis
Authors: Terry d. Warfield, jerry j. weygandt, Donald e. kieso
2nd Edition
471737933, 978-0471737933
