Core Earth Company gave a creditor a 90-day, 6% note payable for $14,000 on December 1, 2019.
Required:
a. What amount of interest will be accrued as of December 31, 2019?
b. Where will this amount be reported in the company's financial statements?

Question

Core Earth Company gave a creditor a 90-day, 6% note payable for $14,000 on December 1, 2019. 
Required:
a. What amount of interest will be accrued as of December 31, 2019?
b. Where will this amount be reported in the company's financial statements?

Quizplus · Accepted Answer

The Answer of Core Earth Company gave a creditor a 90-day, 6% note payable for $14,000 on December 1, 2019. 
Required:
a. What amount of interest will be accrued as of December 31, 2019?
b. Where will this amount be reported in the company's financial statements?

Core Earth Company Gave a Creditor a 90-Day, 6% Note