Discounting a Note Receivable Sonic Inc. received from a customer a $2,400, 9% interest-bearing note that will mature in three months. Two months later, Sonic Inc. discounted the note to the bank to yield 12%. Provide the required journal entry made by the company at the time the note was discounted. Note: Round your answers to the nearest whole dollar. Account Name Dr. Cr. 수 To record interest on note Cash 2,400 To record discounting of note
Discounting a Note Receivable Sonic Inc. received from a customer a $2,400, 9% interest-bearing note that will mature in three months. Two months later, Sonic Inc. discounted the note to the bank to yield 12%. Provide the required journal entry made by the company at the time the note was discounted. Note: Round your answers to the nearest whole dollar. Account Name Dr. Cr. 수 To record interest on note Cash 2,400 To record discounting of note
College Accounting (Book Only): A Career Approach
13th Edition
ISBN:9781337280570
Author:Scott, Cathy J.
Publisher:Scott, Cathy J.
ChapterD: Notes Payable And Notes Receivable
Section: Chapter Questions
Problem 2P
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