General Accounting question please solve this On December 1, 2015, Parsons Inc. soldmachinery to a customer for $20,000. Thecustomer could not pay at the time of sale,but agreed to pay 9 months later, andsigned a 9-month note at 9% interest. Howmuch interest revenue was earned duringthe year 2016?- $1,200- $1,600- $900- $1,800

Step 1:- Define Notes ReceivableNotes receivable is a promise in writing issued by the borrower to…

Answered: On December 1, 2015, Parsons Inc. sold…

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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On December 1, 2015, Parsons Inc. sold machinery to a customer for $20,000. The customer could not pay at the time of sale, but agreed to pay 9 months later, and signed a 9-month note at 9% interest. How much interest revenue was earned during the year 2016? - $1,200 - $1,600 - $900 - $1,800