On April 1, 2015, a company received a one-year note receivable bearing interest at the market rate. The face amount of the note receivable and the entire amount of the interest are due on March 31, 2016. The interest receivable account at June 30, 2015 would consist of the amount representing Three months of accrued interest income O The excess on April 1, 2015 of the present value okthe notes receivable over its face value. Twelve months of accrued interest income Nine months of accrued interest income
On April 1, 2015, a company received a one-year note receivable bearing interest at the market rate. The face amount of the note receivable and the entire amount of the interest are due on March 31, 2016. The interest receivable account at June 30, 2015 would consist of the amount representing Three months of accrued interest income O The excess on April 1, 2015 of the present value okthe notes receivable over its face value. Twelve months of accrued interest income Nine months of accrued interest income
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:On April 1, 2015, a company received a one-year note receivable bearing interest at the market
rate. The face amount of the note receivable and the entire amount of the interest are due on
March 31, 2016. The interest receivable account at June 30, 2015 would consist of the amount
representing
O Three months of accrued interest income
O The excess on April 1, 2015 of the present value othe notes receivable over its face value.
O Twelve months of accrued interest income
O Nine months of accrued interest income
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