Your company lent $156,000 to a customer on April 1. The customer signed an 8-month,...
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Accounting
Your company lent $156,000 to a customer on April 1. The customer signed an 8-month, 5% interest-bearing note. The amount borrowed with accrued interest is due on December 1. Your companys fiscal year-end is May 31. Interest calculations are based on months.
1. Interest revenue recognized on May 31: Answer
2. Interest revenue recognized on December 1: Answer
3. Cash expected upon collection of the note on December 1Answer
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