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ce of P1,500,000. Under the terms of the sale, the automobile dealer 00,000 cash and a promissory note with 5% interest due in full 12 mo er. How much is the maturity value of the note?

ce of P1,500,000. Under the terms of the sale, the automobile dealer 00,000 cash and a promissory note with 5% interest due in full 12 mo er. How much is the maturity value of the note?

FINANCIAL ACCOUNTING
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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An automobile dealer sold three vans to FDN Company on April 1, for the total price of P1,500,000. Under the terms of the sale, the automobile dealer received P500,000 cash and a promissory note with 5% interest due in full 12 months later. How much is the maturity value of the note?
Transcribed Image Text:An automobile dealer sold three vans to FDN Company on April 1, for the total price of P1,500,000. Under the terms of the sale, the automobile dealer received P500,000 cash and a promissory note with 5% interest due in full 12 months later. How much is the maturity value of the note?
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