Morgan Acrobats lent $30,030 to Donaldson, Inc., accepting Donaldsons 2-years, $37,000, zero-interest-bearing note. The implied...
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Accounting
Morgan Acrobats lent $30,030 to Donaldson, Inc., accepting Donaldsons 2-years, $37,000, zero-interest-bearing note. The implied interest rate is 11%. Prepare Morgans journal entries for the initial transaction, recognition of interest each year, and the collection of $37,000 at maturity.
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