On September 15, 2023, Velocity Logistics had $310,000 in current assets and $275,000 in current liabilities. On October 1, 2023, Velocity received $60,000 from an issue of promissory notes that will mature in 2026. The notes pay interest on April 1 at an annual rate of 7 percent. Velocity's fiscal year ends on December 31. What is the interest expense for December 31, 2023?

On September 15, 2023, Velocity Logistics had $310,000 in current assets and $275,000 in current liabilities. On October 1, 2023, Velocity received $60,000 from an issue of promissory notes that will mature in 2026. The notes pay interest on April 1 at an annual rate of 7 percent. Velocity's fiscal year ends on December 31. What is the interest expense for December 31, 2023?

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter9: Accounting For Receivables

Section: Chapter Questions

Problem 24Q: Chemical Enterprises issues a note in the amount of $156,000 to a customer on January 1, 2018. Terms...

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