Question

On November 1, Orpheum Company accepted a $10,000, 90-day, 8% note from a customer settle an account. What entry should be made on the November 1 to record the acceptance of the note

Answer 1

Answer:

Debit note receivable with $10,000

Credit accounts receivable with $10,000

Explanation:

The journal entry below should be used to record the acceptance of the note on November 1.

Note receivable account Dr $10,000

Accounts receivable Cr 10,000