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Question :
AP Butternut Squash Company has the following two notes receivable at May 31. 2021, its fiscal year end: 1. $50,000 six-month, 6% note issued January 1, 2021 2. $20,000 three-month, 5% note issued April 30, 2021 Interest is payable at maturity for both notes.
a. Calculate the accrued interest on both notes at May 31, 2021.
b. Prepare one adjusting journal entry to record the accrued interest on both notes.
Andrea, a self-employed individual, wishes to accumulate a retirement fund of $500,000.
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