A business issued a 45-day, 6% note for $210,000 to a creditor on account. Journalize the entries to record (a) the issuance of the note and (b) the payment of the note at maturity, including interest. Assume a 360-day year. If an amount box does not require an entry, leave it blank. a. Accounts Payable        Notes Payable      b. Notes Payable        Interest Expense        Cash

Principles of Accounting Volume 1
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Chapter9: Accounting For Receivables
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Problem 22MC: A company collects an honored note with a maturity date of 24 months from establishment, a 10%...
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Entries for Notes Payable

A business issued a 45-day, 6% note for $210,000 to a creditor on account. Journalize the entries to record (a) the issuance of the note and (b) the payment of the note at maturity, including interest. Assume a 360-day year.

If an amount box does not require an entry, leave it blank.

a. Accounts Payable     
  Notes Payable     
b. Notes Payable     
  Interest Expense     
  Cash 
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