Lone Star Company received a 90-day, 6% note for $80,000, dated March 12 from a customer on account. (Assume a 360-day year when calculating interest.)
(a)Determine the due date of the note.
(b)Determine the maturity value of the note.
(c)Journalize the entry to record the receipt of the payment of the note at maturity.

Question

Lone Star Company received a 90-day, 6% note for $80,000, dated March 12 from a customer on account.  (Assume a 360-day year when calculating interest.)
(a)Determine the due date of the note.
(b)Determine the maturity value of the note.
(c)Journalize the entry to record the receipt of the payment of the note at maturity.

Quizplus · Accepted Answer

The Answer of Lone Star Company received a 90-day, 6% note for $80,000, dated March 12 from a customer on account.  (Assume a 360-day year when calculating interest.)
(a)Determine the due date of the note.
(b)Determine the maturity value of the note.
(c)Journalize the entry to record the receipt of the payment of the note at maturity.

Lone Star Company Received a 90-Day, 6% Note for $80,000