Chapter 9, Problem 4E

1.

To determine

Concept Introduction:

Short-term notes payable: It is a written promissory note where a specific promise is made to pay a certain amount on a date in the future which is within one year. Promissory notes can be sold or transferred from one party to another party, most of the notes payable are interest-bearing.

The maturity of a given note.

2.

To determine

Concept Introduction:

Short-term notes payable: It is a written promissory note where a specific promise is made to pay a certain amount on a date in the future which is within one year. Promissory notes can be sold or transferred from one party to another party, most of the notes payable are interest-bearing.

The entry to record (a) issuance and (b) maturity of the note.