PINK Company reported a 10% note payable of ₱3,600,000 on June 30, 2021. The note is dated October 1, 2019 and payable in three equal annual payments of ₱1,200,000 plus interest. The first interest and principal payment was made on October 1, 2020. On June 30, 2021, what amount should be reported as accrued interest payable for this note
PINK Company reported a 10% note payable of ₱3,600,000 on June 30, 2021. The note is dated October 1, 2019 and payable in three equal annual payments of ₱1,200,000 plus interest. The first interest and principal payment was made on October 1, 2020. On June 30, 2021, what amount should be reported as accrued interest payable for this note
Financial Accounting
14th Edition
ISBN:9781305088436
Author:Carl Warren, Jim Reeve, Jonathan Duchac
Publisher:Carl Warren, Jim Reeve, Jonathan Duchac
Chapter14: Long-term Liabilities: Bonds And Notes
Section: Chapter Questions
Problem 11E
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PINK Company reported a 10% note payable of ₱3,600,000 on June 30, 2021. The note is dated October 1, 2019 and payable in three equal annual payments of ₱1,200,000 plus interest. The first interest and principal payment was made on October 1, 2020.
On June 30, 2021, what amount should be reported as accrued interest payable for this note?
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