The Buffalo Insurance Agency received the following notes during 2015:

Requirements
1. Identifying each note by number, compute interest using a 360-day year, and determine the due date and maturity value of each note.
2. Journalize a single adjusting entry on October 31, 2015, to record accrued interest revenue on all three notes. Explanations are not required.
3. For note (1), journalize the collection of principal and interest at maturity. Explanations are not required.

Transcribed Image Text:

Principal Interest Rate 8% 11% 12% Date Note (1) (2) (3) Term 1 year 2 months 45 days Oct 23 Sep 30 Oct 7 $13,000 10,000