On the last day of October, Wicker Company borrows $120,000 on a bank note for 60 days

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On the last day of October, Wicker Company borrows $120,000 on a bank note for 60 days at 11 percent interest. Interest is not included in the face amount. Prepare the following entries in journal form:

(1) October 31, recording of note;

(2) November 30, accrual of interest expense, and

(3) December 30, payment of note plus interest.

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Principles of Accounting

ISBN: 978-1439037744

11th Edition

Authors: Needles, Powers, crosson

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