Question: PT. Blower issued a $ 6,000, 5-month, 10% note as a consequence of non-payment of its trade payables to PT. Rubber when it matures. Note
PT. Blower issued a $ 6,000, 5-month, 10% note as a consequence of non-payment of its trade payables to PT. Rubber when it matures. Note dated October 1, 2020. If PT. Rubber prepares financial statements on December 31, 2020, then the journal Rubber is on March 1, 2021 when the notes are due and the notes are dishonored notes but are still expected to be paid someday is ... Select one:
a. (Dr) Accounts Receivable $ 6,600, (Cr) Notes Receivable $ 6,000, (Cr) Interest Receivable $ 600
b. (Dr) Accounts Receivable $ 6,600, (Cr) Notes Receivable $ 6,000, (Cr) Interest Receivable $ 360, (Cr) Interest Revenue $ 240
c. (Dr) Accounts Receivable $ 6,250, (Cr) Notes Receivable $ 6,000, (Cr) Interest Receivable $ 150, (Cr) Interest Revenue $ 100
d. (Dr) Accounts Receivable $ 6,250, (Cr) Notes Receivable $ 6,010, (Cr) Interest Revenue $ 250
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