Question: A company received the following notes during 2014. The notes were discounted on the dates and at the rates indicated. Required Identify each note by

A company received the following notes during 2014. The notes were discounted on the dates and at the rates indicated.

Required
Identify each note by letter, compute interest for each note, round all interest amounts to the nearest cent, and present entries in general journal form. Explanations are not required.
1. Determine the due date and maturity value of each note.
2. Determine the discount and proceeds from the sale (discounting) of each note.
3. Journalize the discounting of notes (a) and (b).

Principal Interest Amount Rate Discount Rate Date Discounted Nov. 18 Jul. 26 Nov. 2 Note (a) (b) Date Term 13% 12 6 months 90 days $10,000 9,000 11% Aug. 18 Jul. 15 Sept. 1 180 days 13 (c) 16,000 10

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