On November 1, Kinder Company received a $6,000, 10%, three-month note receivable. The cash to be received by Kinder Company when the note becomes due is:

Question

Quizplus · Accepted Answer

The cash to be received includes the principal amount plus interest. The interest is calculated as $6,000 * 10% * (3/12) = $150. Therefore, the total cash received will be $6,000 + $150 = $6,150.

On November 1, Kinder Company Received a $6,000, 10%, Three-Month