Takemoto Inc. borrowed $60,000 on November 1, 2020, by signing a $61,350, three-month, zero-interest-bearing note. (a) Using

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Takemoto Inc. borrowed $60,000 on November 1, 2020, by signing a $61,350, three-month, zero-interest-bearing note.

(a) Using a financial calculator or Excel, calculate the effective interest charged on the note.

(b) Prepare Takemoto's November 1, 2020 entry; the December 31, 2020 annual adjusting entry; and the February 1, 2021 entry. Round amounts to the nearest dollar.

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Intermediate Accounting Volume 2

ISBN: 9781119497042

12th Canadian Edition

Authors: Donald E. Kieso, Jerry J. Weygandt, Terry D. Warfield, Irene M. Wiecek, Bruce J. McConomy

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Question Posted: Jul 02, 2020 01:47 AM

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Takemoto Inc. borrowed $60,000 on November 1, 2020, by signing a $61,350, three-month, zero-interest-bearing note. (a) Using

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a Using a financial calculator PV 60000 I Yields 744 per month or 89 per year N 3 PMT ...View the full answer

Intermediate Accounting Volume 2

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