Using Exact Interest, the Amount of Interest on a $7,000

question 49

True/False

Using exact interest, the amount of interest on a $7,000 loan at 5% interest for 200 days is ​$191.78.

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Definitions:

General Journal

A general journal is an accounting ledger that is used to record all transactions of a business in chronological order, prior to their transfer into specific accounts in the general ledger.

General Ledger

A comprehensive accounting record of a company’s financial transactions over its life, encompassing all accounts.

Chart of Accounts

An organized list of all accounts in a business entity's financial records, each with a unique account number.

Account Names

Specific titles given to accounts that reflect the nature of the transactions they represent in the accounting records.