Uniform Supply accepted a $4,800,90-day,10% note from Tracy Janitorial on October 17.What entry should Uniform Supply make on January 15 of the next year when the note is paid?
A)Debit Notes Receivable $4,800;debit Interest Receivable $120;credit Sales $4,920.
B)Debit Cash $4,920;credit Notes Receivable $4,920.
C)Debit Cash $4,920;credit Interest Revenue $100;credit Interest Receivable $20;credit Notes Receivable $4,800.
D)Debit Cash $4,920;credit Interest Revenue $20;credit Interest Receivable $100;credit Notes Receivable $4,800.
E)Debit Cash $4,920;credit Interest Revenue $120;credit Notes Receivable $4,800.

Question

Quizplus · Accepted Answer

The Answer of Uniform Supply accepted a $4,800,90-day,10% note from Tracy Janitorial on October 17.What entry should Uniform Supply make on January 15 of the next year when the note is paid?
A)Debit Notes Receivable $4,800;debit Interest Receivable $120;credit Sales $4,920.
B)Debit Cash $4,920;credit Notes Receivable $4,920.
C)Debit Cash $4,920;credit Interest Revenue $100;credit Interest Receivable $20;credit Notes Receivable $4,800.
D)Debit Cash $4,920;credit Interest Revenue $20;credit Interest Receivable $100;credit Notes Receivable $4,800.
E)Debit Cash $4,920;credit Interest Revenue $120;credit Notes Receivable $4,800.

Uniform Supply Accepted a $4,800,90-Day,10% Note from Tracy Janitorial on October