Question
The Village of Walton borrowed $500,000 for a period of six months using a tax anticipation note on November 1, 2019. The Village is charged
The Village of Walton borrowed $500,000 for a period of six months using a tax anticipation note on November 1, 2019. The Village is charged interest on the borrowing at an annual rate of 6 percent. The Village's fiscal year-end is September 30, 2020. What journal entry should be made in the Village's General Fund when the Village repays the loan with interest on April 30, 2020?
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Financial Accounting
Authors: Warren, Reeve, Duchac
12th Edition
1133952410, 9781133952411, 978-1133952428
