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Question 2: Hansen Co. borrows $200,000 cash on November 1 of the current year by signing a 90-day, 9 9%, $200,000 note. i. On what

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Question 2: Hansen Co. borrows $200,000 cash on November 1 of the current year by signing a 90-day, 9 9%, $200,000 note. i. On what date does this note mature? [1 Mark] ii. How much interest expense is recorded in the current year? (Assume a 360-day year.) [1 Mark] How much interest expense is recorded in the following year? (Assume a 360-day year.) (1 mark] Prepare journal entries to record (a) issuance of the note, (b) accrual of interest on December 31, and payment of the note at maturity. [2 marks] iv

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