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

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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