Note Receivable Note receivable refers to a written promise by the debtor for the amounts to be received within a stipulated period of time. This written promise is issued by a debtor or borrower to the lender or creditor. Notes receivable is an asset of a business. To prepare: The journal entry in the books of L Bank & Trust to record the lending of money on June 6.

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Chapter 8, Problem 8.10SE

(1)

To determine

Note Receivable

Note receivable refers to a written promise by the debtor for the amounts to be received within a stipulated period of time. This written promise is issued by a debtor or borrower to the lender or creditor. Notes receivable is an asset of a business.

To prepare: The journal entry in the books of L Bank & Trust to record the lending of money on June 6.

(2)

To determine

To prepare: The journal entry in the books of L Banks & Trust to record the collection of the principal and interest at maturity.

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