On December 1, a company accepts a $44,000, 45-day, 12% note from a customer. a. Prepare the year-end adjusting entry to record accrued interest revenue on December 31. b. Prepare the entry required on the note's maturity date assuming it is honored. Note: Use 360 days a year.

On December 1, a company accepts a $44,000, 45-day, 12% note from a customer. a. Prepare the year-end adjusting entry to record accrued interest revenue on December 31. b. Prepare the entry required on the note's maturity date assuming it is honored. Note: Use 360 days a year.

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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Question

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Journal entry worksheet
<
1
2
Record the journal entry on the note's maturity date assuming it is honored.
Assume the company does not prepare reversing entries.
Note: Enter debits before credits.
Date
January 15
Record entry
General Journal
Clear entry
Debit
Credit
View general journal

On December 1, a company accepts a $44,000, 45-day, 12% note from a customer.
a. Prepare the year-end adjusting entry to record accrued interest revenue on December 31.
b. Prepare the entry required on the note's maturity date assuming it is honored.
Note: Use 360 days a year.
View transaction list
Journal entry worksheet
1
2
Record the year-end adjusting entry to record accrued interest revenue on
December 31.
Note: Enter debits before credits.
Date
December
31
General Journal
Debit
Credit
>

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