Problem 6-8 (AICPA Adapted) Frame Company has an 8% note receivable dated June 30, 2021, in the original amount of P1,500,000. Payments of P500,000 in principal plus accrued interest are due annually on July 1, 2022, 2023 and 2024. 1. What is the balance of note receivable on July 1, 2022? a. 1,500,000 b. 1,000,000 500,000 d. с. 2. On June 30, 2023, what amount should be reported as accrued interest receivable on the note receivable? а. 120,000 b. 40,000 C. 80,000 d.

Problem 6-8 (AICPA Adapted) Frame Company has an 8% note receivable dated June 30, 2021, in the original amount of P1,500,000. Payments of P500,000 in principal plus accrued interest are due annually on July 1, 2022, 2023 and 2024. 1. What is the balance of note receivable on July 1, 2022? a. 1,500,000 b. 1,000,000 500,000 d. с. 2. On June 30, 2023, what amount should be reported as accrued interest receivable on the note receivable? а. 120,000 b. 40,000 C. 80,000 d.

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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