Mr Potts Issued a 90-Day, 7% Note for $200,000, Dated

question 27

Essay

Mr. Potts issued a 90-day, 7% note for $200,000, dated February 3 to Valley Co. on account. (Assume a 360-day year when calculating interest.)
(a) Determine the due date of the note.
(b) Determine the interest.
(c) Determine the maturity value of the note.
(d) Journalize the entry to record the receipt of the note from Potts on Feb. 3.
(e) Journalize the entry to record the receipt of payment of the note at maturity by Valley Co.

---

Definitions:

Social-Cognitive Learning

A theory that suggests learning occurs through observation, imitation, and modeling, influenced by both environmental and cognitive factors.

Mental Processes

Internal, covert activities of our minds, such as thinking, feeling, and remembering.

Human Learning

The process through which individuals acquire new knowledge, skills, behaviors, attitudes, or values.

Punishment

A consequence that decreases the likelihood of a behavior being repeated, often used in the context of discipline or behavioral modification.