Texts: Could someone please help me with this homework question asap?
Keesha Company borrows $140,000 cash on November 1 of the current year by signing a 150-day, 9%, $140,000 note.
1. On what date does this note mature?
2. What is the amount of interest expense in the current year and the following year from this note?
3. Prepare journal entries to record:
a) Issuance of the note
b) Accrual of interest on December 31
c) Payment of the note at maturity.
Complete this question by entering your answers in the tabs below.
Req1:
Req2 and 3:
Req4:
What is the amount of interest expense in the current year and the following year from this note? Note: Use 360 days a year. Do not round intermediate calculations and round final answers to the nearest whole dollar.
Total through Interest Expense Interest Expense to maturity Current Year Following Year
Principal $140,000 $140,000 $140,000
Rate 9% 9% 9%
Time 150/360 60/360 90/360
Total interest
