On November 1, Alan Company signed a 120-day, 9% note payable, with a face value...
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On November 1, Alan Company signed a 120-day, 9% note payable, with a face value of $54,000. Alan made a December 31 year-end accrual for interest earned. What is the journal entry as of March 1to record the payment of the note? (Use 360 days a year.) Debit Notes Payable $ 54,000; debit Interest Expense $ 1,620; credit $55,620. Debit Notes Payable $54,000 ; debit Interest Payable $810; credit Cash $ 54,810 . Debit Notes Payable $54,000 ; debit Interest Expense $ 810; debit Interest Payable $ 810; credit Cash $ 55,620 .
On November 1, Alan Company signed a 120-day, 9% note payable, with a face value of $54,000. Alan made a December 31 year-end accrual for interest earned. What is the journal entry as of March 1 to record the payment of the note? (Use 360 days a year.) Debit Notes Payable $54,000; debit Interest Expense $1,620; credit Cash $55,620. Debit Notes Payable $54,000; debit Interest Payable $810; credit Cash $54,810. Debit Notes Payable $54,000; debit Interest Expense $810; debit Interest Payable $810; credit Cash $55,620
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