7. A business issued a 120-day, 6% note for $10,000 to a creditor account. The company uses a 360-day year for interest calculation Journalize the entries to record (a) the issuance of the note and (b) payment of the note at maturity, including interest.

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Subject: accounting 

7. A business issued a 120-day, 6% note for $10,000 to a creditor on
account. The company uses a 360-day year for interest calculations.
Journalize the entries to record (a) the issuance of the note and (b) the
payment of the note at maturity, including interest.
Transcribed Image Text:7. A business issued a 120-day, 6% note for $10,000 to a creditor on account. The company uses a 360-day year for interest calculations. Journalize the entries to record (a) the issuance of the note and (b) the payment of the note at maturity, including interest.
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