Entity M signed a six-month note payable in the amount of $60,000 on October 1. The...

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Entity M signed a six-month note payable in the amount of $60,000 on October 1. The...

Entity M signed a six-month note payable in the amount of $60,000 on October 1. The note requires interest at an annual rate of 7%. The interest expense accrual at the end of the period would require:

business accounting

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Answer 1

Answer #1

Number of months = October to December = 3

Accrued interest expenses would be =$60000*7%* 3/12

=$1050

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Answer 2

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