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RafterCom Received a 10%, 90-Day Promissory Note with a Face

Question 162

Essay

Rafter.com received a 10%, 90-day promissory note with a face amount of $12,000 from Joyce Company, for the sale of merchandise on November 1, 2014.
A Identify the maturity date of the note.
B How much interest income to the nearest whole month will Rafter.com earn over the term of the note?
C How much interest income will Rafter.com recognize during 2014?

Correct Answer:

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A January 30, 2015
B...

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