Jacobs Company borrowed $600,000 on a 90-day note at 11 percent interest. The money was borrowed for

Question:

Jacobs Company borrowed $600,000 on a 90-day note at 11 percent interest. The money was borrowed for 30 days in 2009 and 60 days in 2010; the note and interest were to be paid upon maturity in 2010. How much interest expense, if any, would be reported in 2009 and in 2010?

Maturity
Maturity is the date on which the life of a transaction or financial instrument ends, after which it must either be renewed, or it will cease to exist. The term is commonly used for deposits, foreign exchange spot, and forward transactions, interest...