On June 1,2013,Martin Company Signed a $25,000,120-Day,6% Note Payable to Cover

question 16

Essay

On June 1,2013,Martin Company signed a $25,000,120-day,6% note payable to cover a past due account payable.This company uses a calendar year to report financial activity.
a.What is the total amount of interest to be paid on this note?
b.Prepare Martin Company's general journal entry to record the issuance of the note payable,
c.Prepare Martin Company's general journal entry to record the payment of the note on
September 29,2013 assuming no adjusting entries have been made since this note was first issued.

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