Determine the due date of the note

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Reference no: EM131722495

Problem - Guzman Company received a 60-day, 4% note for $46,000 dated July 12 from a customer on account.

Required:

a. Determine the due date of the note.

b. Determine the maturity value of the note.

c. Journalize the entry to record the receipt of the payment of the note at maturity. Refer to the Chart of Accounts for exact wording of account titles.

ASSETS

110

Cash

111

Petty Cash

120

Accounts Receivable

129

Allowance for Doubtful Accounts

132

Notes Receivable

141

Merchandise Inventory

145

Office Supplies

146

Store Supplies

151

Prepaid Insurance

181

Land

191

Store Equipment

192

Accumulated Depreciation-Store Equipment

193

Office Equipment

194

Accumulated Depreciation-Office Equipment

 

LIABILITIES

210

Accounts Payable

211

Salaries Payable

213

Sales Tax Payable

214

Interest Payable

215

Notes Payable

 

EQUITY

310

Common Stock

311

Retained Earnings

312

Dividends

313

Income Summary

REVENUE

410

Sales

610

Interest Revenue

 

EXPENSES

510

Cost of Merchandise Sold

520

Sales Salaries Expense

521

Advertising Expense

522

Depreciation Expense-Store Equipment

523

Delivery Expense

524

Repairs Expense

529

Selling Expenses

530

Office Salaries Expense

531

Rent Expense

532

Depreciation Expense-Office Equipment

533

Insurance Expense

534

Office Supplies Expense

535

Store Supplies Expense

536

Credit Card Expense

537

Cash Short and Over

538

Bad Debt Expense

539

Miscellaneous Expense

710

Interest Expense

Reference no: EM131722495

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