b. On September 1, 2019 the Robbem Co. received a $30,000 note receivable from a customer in exchange for an accounts receivable. The note will pay interest at a rate of 12% and principal and interest is due in 9 months (June 1, 2020). Instructions: 1. Compute the maturity value of the note. 2. Prepare the journal entry on September 1, 2019, the date the note was received. 3. Prepare the adjusting journal entry on December 31, 2019, to accrue the interest earned to date

b. On September 1, 2019 the Robbem Co. received a $30,000 note receivable from a customer in exchange for an accounts receivable. The note will pay interest at a rate of 12% and principal and interest is due in 9 months (June 1, 2020). Instructions: 1. Compute the maturity value of the note. 2. Prepare the journal entry on September 1, 2019, the date the note was received. 3. Prepare the adjusting journal entry on December 31, 2019, to accrue the interest earned to date

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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