5:01 PM 3 of 4 one Problem 2: Note Receivable 3 (10 points) a) Journalize the fo

Question

5:01 PM 3 of 4 one Problem 2: Note Receivable 3 (10 points) a) Journalize the following transactions form Tina Promotions, Inc. October 15 Received a $6,000, 6 month, 8% note in exchange for an outstanding account December 31 Accrued interest revenue on the Morrison& Co note. April 15 recelvable from Morrison & Co Recelved principal plus interest on the Morrison & Co. note. (No interest has been accrued since December 31) b.) What day would the note be due if it was a 180 day note and not a leap year? Oct. 15 Dec. 31 April 15 b.

Explanation / Answer

Journal entries :

b) Day if 180 days notes then due date is = 13 april

date accounts & explanation debit credit Oct 15 Notes receivable 6000 account receivable a/c 6000 (To record exchange of notes receivable) dec 31 Interest receivable a/c (6000*8%*2.5/12) 100 Interest revenue a/c 100 (To record accured interest) apr 15 Cash a/c 6240 Notes receivable a/c 6000 Interest receivable a/c 100 Interest revenue a/c (6000*8%*3.5/12) 140 (To record payment received)

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