On September 1, 2018, the Mills Company borrowed $101,000 in cash in a one-year note that required Mills to pay 5 percent interest and $101,000 in principal, both on August 31, 2019.

Assuming the note is paid when due in 2019, what is the interest expense charge when recording the payment of the note?

Answer rating: 100% (QA)

The interest expense charged on the payment of the note can be calculated using the simple ... View the full answer