Perfect Systems borrows $94,000 cash on May 15, 2011, by signing a 60 day, 12 note 1 On what date does this note mature 2 Suppose the face value of the note equals $94,000, the principal of the loan Prepare the journal entries to record (a) Issuance of the note and (b) Payment of the note at maturi...

1 Maturity date May 15 60 days July 14 2011 2a May 15 Cash 9400 ...

Perfect Systems borrows $94,000 cash on May 15, 2011, by signing a 60-day, 12% note. 1. On

Question:

Perfect Systems borrows $94,000 cash on May 15, 2011, by signing a 60-day, 12% note.
1. On what date does this note mature?
2. Suppose the of the note equals $94,000, the principal of the loan. Prepare the journal entries to record
(a) Issuance of the note and
(b) Payment of the note at maturity.

Face Value
Face value is a financial term used to describe the nominal or dollar value of a security, as stated by its issuer. For stocks, the face value is the original cost of the stock, as listed on the certificate. For bonds, it is the amount paid to the...