A business issued a 30-day, 7% note for $36,000 to a creditor on account. Illustrate the effects

Question:

A business issued a 30-day, 7% note for $36,000 to a creditor on account. Illustrate the effects on the accounts and financial statements of recording

(a) The issuance of the note and

(b) The payment of the note at maturity, including interest.

Financial Statements
Financial statements are the standardized formats to present the financial information related to a business or an organization for its users. Financial statements contain the historical information as well as current period’s financial...