Interest is not included in the face amount

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On the last day of October, Lake Company borrows $ 60,000 on a bank note for 60 days at 12 percent interest. Interest is not included in the face amount. Prepare the following journal entries: (1) October 31, recording of note; (2) November 30, accrual of interest expense (round to the nearest cent); and (3) December 30, payment of note plus interest.

Reference no: EM13747869

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Interest is not included in the face amount : On the last day of October, Lake Company borrows $ 60,000 on a bank note for 60 days at 12 percent interest. Interest is not included in the face amount. Prepare the following journal entries: (1) October 31, recording of note; (2) November 30, accru..

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