Trista Co. borrowed $180,000 on December 1, 2014, for 90 days at 5% interest by signing a

Question:

Trista Co. borrowed $180,000 on December 1, 2014, for 90 days at 5% interest by signing a note.
1. On what date will this note mature?
2. How much interest expense is created by this note in 2014?
3. How much interest expense is created by this note in 2015?
4. Prepare the journal entries on December 1, December 31 (Trista Co.’s year-end), and the date.

Maturity
Maturity is the date on which the life of a transaction or financial instrument ends, after which it must either be renewed, or it will cease to exist. The term is commonly used for deposits, foreign exchange spot, and forward transactions, interest...