Answered: A $4,800, 180-day non-interest bearing…

A $4,800, 180-day non-interest bearing promissory note issued May 9 is discounted on August 23 at 4%. Find the amount of discount and the proceeds of the note.

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter12: Current Liabilities

Section: Chapter Questions

Problem 16Q: Jain Enterprises honors a short-term note payable. Principal on the note is $425,000, with an annual...

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A $4,800, 180-day non-interest bearing promissory note issued May 9 is discounted on August 23 at 4%. Find the amount of discount and the proceeds of the note.

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