Loaned $6,000 to Maple Valley Electric by issuing a 4-year note receivable with a stated annual interest
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Loaned $6,000 to Maple Valley Electric by issuing a 4-year note receivable with a stated annual interest rate of 8%. The funds were loaned by issuing a check. Interest payments of $480 are due on December 31st of each year beginning in 2018. The entire principal is due four years from December 31, 2017.
Can anyone help me record this transaction? I believe I need to record this in the cash disbursements journal, but I do not know how much or what accounts to use. Thank you for your help.
Related Book For
Quantitative Investment Analysis
ISBN: 978-1119104223
3rd edition
Authors: Richard A. DeFusco, Dennis W. McLeavey, Jerald E. Pinto, David E. Runkle
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