Quick answer of this accounting questions Metro Company accepts from Wilson Corp. a $5,800, 60-day, 8%note dated July 15 in settlement of Wilson's overdue account. (a)What is the maturity date of the note? (b) What entry does Metromake at the maturity date, assuming Wilson pays the note andinterest in full at that time?

Step 1:The maturity date of the note is calculated as follows: Formula table: Result of the above…

Answered: Metro Company accepts from Wilson Corp.…

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 5P

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Metro Company accepts from Wilson Corp. a $5,800, 60-day, 8% note dated July 15 in settlement of Wilson's overdue account. (a) What is the maturity date of the note? (b) What entry does Metro make at the maturity date, assuming Wilson pays the note and interest in full at that time?