Art Shoes This company received a promissory note from a customer on July 1,2012.The face amount of the note is $45,000;the terms are 12 months and 10% annual interest.
-Refer to Art Shoes.At the maturity date,the customer pays for the note and interest.The company made the proper adjustment at the end of December for interest.The effect of recognizing the transaction on the maturity date is

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At maturity, the note is paid off, which decreases the Notes Receivable account as the note is settled.

Art Shoes This Company Received a Promissory Note from a Customer