Bundle: College Accounting: A Career Approach (with QuickBooks Online), Loose-leaf Version, 13th + LMS Integrated CengageNOWV2, 1 term (6 months) Printed Access
13th Edition
ISBN: 9781337587358
Author: Cathy J. Scott
Publisher: Cengage Learning
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Chapter D, Problem 2P
a.
To determine
Compute the maturity date of the note.
b.
To determine
Compute the interest to be paid on the given note.
c.
To determine
Journalize the issuance of note, and payment of note at maturity.
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Prefix Supply Company received a 60-day, 5% note for $57,000 dated July 12 from a customer on account.
Required:
a. Determine the due date of the note.
b. Determine the maturity value of the note. Assume a 360-day year.
c. Journalize the entry to record the receipt of the payment of the note at maturity. Refer to the Chart of Accounts for exact wording of account titles.
a. Determine the due date of the note.
September 10
b. Determine the maturity value of the note. Assume a 360-day year. (Note: Round computations to the nearest whole dollar.)
c. Journalize the entry to record the receipt of the payment of the note at maturity. Refer to the Chart of Accounts for exact wording of account titles.
Lundquist Company received a 60-day, 4% note for $46,000, dated July 23, from a customer on account.
Required:
a. Determine the due date of the note.
b. Determine the maturity value of the note. Assume 360 days in a year.
c. Journalize the entry to record the receipt of the payment of the note at maturity. Refer to the Chart of Accounts for exact wording of account titles.
Lone Star Company received a 90-day, 6% note for $80,000, dated March 12 from a customer on account. (Assume a 360-day year when calculating interest.)
a. Determine the due date of the note.
b. Determine the maturity value of the note.
c. Journalize the entry to record the receipt of the payment of the note at maturity. If an amount box does not require an entry, leave it blank.
June 10
Chapter D Solutions
Bundle: College Accounting: A Career Approach (with QuickBooks Online), Loose-leaf Version, 13th + LMS Integrated CengageNOWV2, 1 term (6 months) Printed Access
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