On May 15, Larkspur Clothiers borrowed some money on a 4-month note to provide cash...
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On May 15, Larkspur Clothiers borrowed some money on a 4-month note to provide cash during the slow season of the year. The interest rate on the note was 8%. At the time the note was due, the amount of interest owed was $420. C.S. Crane Company had the following transactions involving notes payable. July 1, 2022 Borrows $104,000 from First National Bank by signing a 9-month, 8% note. Nov. 1,2022 Borrows $107,000 from Lyon County State Bank by signing a 3-month, 6\% note. Dec. 31,2022 Prepares adjusting entries. Feb. 1,2023 Pays principal and interest to Lyon County State Bank. Apr. 1, 2023 Pays principal and interest to First National Bank. On May 15, Larkspur Clothiers borrowed some money on a 4-month note to provide cash during the slow season of the year. The interest rate on the note was 8%. At the time the note was due, the amount of interest owed was $420. C.S. Crane Company had the following transactions involving notes payable. July 1, 2022 Borrows $104,000 from First National Bank by signing a 9-month, 8% note. Nov. 1,2022 Borrows $107,000 from Lyon County State Bank by signing a 3-month, 6\% note. Dec. 31,2022 Prepares adjusting entries. Feb. 1,2023 Pays principal and interest to Lyon County State Bank. Apr. 1, 2023 Pays principal and interest to First National Bank
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