On June 1, 2020, Taby Company loaned ₱500,000 on a 12% note, payable in five annual installments of ₱100,000 beginning January 1, 2021. Interest on the note is payable on the first date of each month beginning July 1, 2020. The borrower made timely payments through November 1, 2020. On January 1, 2021, the entity received payment of the first principal installment plus all interest due. On December 31, 2020, what amount should be reported as accrued interest receivable? _________________________ (Use four decimal points)
On June 1, 2020, Taby Company loaned ₱500,000 on a 12% note, payable in five annual installments of ₱100,000 beginning January 1, 2021. Interest on the note is payable on the first date of each month beginning July 1, 2020. The borrower made timely payments through November 1, 2020. On January 1, 2021, the entity received payment of the first principal installment plus all interest due. On December 31, 2020, what amount should be reported as accrued interest receivable? _________________________ (Use four decimal points)
Chapter13: Long-term Liabilities
Section: Chapter Questions
Problem 1PA: On January 1, 2018, King Inc. borrowed $150,000 and signed a 5-year, note payable with a 10%...
Related questions
Question
On June 1, 2020, Taby Company loaned ₱500,000 on a 12% note, payable in five annual installments of ₱100,000 beginning January 1, 2021. Interest on the note is payable on the first date of each month beginning July 1, 2020. The borrower made timely payments through November 1, 2020. On January 1, 2021, the entity received payment of the first principal installment plus all interest due. On December 31, 2020, what amount should be reported as accrued interest receivable? _________________________ (Use four decimal points)
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
This is a popular solution!
Trending now
This is a popular solution!
Step by step
Solved in 2 steps with 1 images
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Recommended textbooks for you
Principles of Accounting Volume 1
Accounting
ISBN:
9781947172685
Author:
OpenStax
Publisher:
OpenStax College
Financial Accounting
Accounting
ISBN:
9781305088436
Author:
Carl Warren, Jim Reeve, Jonathan Duchac
Publisher:
Cengage Learning
Principles of Accounting Volume 1
Accounting
ISBN:
9781947172685
Author:
OpenStax
Publisher:
OpenStax College
Financial Accounting
Accounting
ISBN:
9781305088436
Author:
Carl Warren, Jim Reeve, Jonathan Duchac
Publisher:
Cengage Learning
Intermediate Accounting: Reporting And Analysis
Accounting
ISBN:
9781337788281
Author:
James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:
Cengage Learning
EBK CONTEMPORARY FINANCIAL MANAGEMENT
Finance
ISBN:
9781337514835
Author:
MOYER
Publisher:
CENGAGE LEARNING - CONSIGNMENT