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Problem - Notes Receivable - Icebreaker Company receives a 120-day, 6% note for $40,000, dated May 14, in settlement of a $40,000 account that is past due.
Required -
a. Determine the due date of the note.
b. Determine the maturity value of the note.
c. Prepare the journal entries to record the (1) receipt of the note.
c. Prepare the journal entries to record the (2) collection at maturity.
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