A $20,000, 9%, 3-Month Note Receivable Is Issued on December

question 101

Multiple Choice

A $20,000, 9%, 3-month note receivable is issued on December 1, with interest due at maturity.When the note is paid the following February, the payee's entry includes (assuming a calendar-year accounting period) a credit to Interest Income of

• A)$ 150.
• B)$ 300.
• C)$ 450.
• D)$20,450.

---

Definitions:

Three-Part Narrative Arc

A story structure consisting of a setup (introduction of characters and their world), a confrontation (with an event that creates the main conflict), and a resolution (where the conflict is resolved).

Aristotle

An ancient Greek philosopher and polymath, whose writings covered many subjects and laid the groundwork for much of Western philosophy and science.

Company Purpose

The core reason for a company's existence beyond making profit, encompassing its values, goals, and the impact it aims to have.

Pitch Deck

A presentation, typically used by startups, to provide an audience with a quick overview of the business plan, idea, or investment opportunity.