At December 31 year-end, Crate Company has an $8,700 note receivable from a customer. Interest of 8% has accrued for 5 months on the note. What will Crate's financial statements report for this situation at December 31? OA. The income statement will report a note receivable of $8,700. OB. The balance sheet will report the note receivable of $8,700 and interest receivable of $290. O C. Nothing because the business has not received the cash yet. OD. The balance sheet will report the note receivable of $8,700.
At December 31 year-end, Crate Company has an $8,700 note receivable from a customer. Interest of 8% has accrued for 5 months on the note. What will Crate's financial statements report for this situation at December 31? OA. The income statement will report a note receivable of $8,700. OB. The balance sheet will report the note receivable of $8,700 and interest receivable of $290. O C. Nothing because the business has not received the cash yet. OD. The balance sheet will report the note receivable of $8,700.
Chapter9: Accounting For Receivables
Section: Chapter Questions
Problem 22MC: A company collects an honored note with a maturity date of 24 months from establishment, a 10%...
Related questions
Question
plz help thank you
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by step
Solved in 3 steps
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Recommended textbooks for you
Principles of Accounting Volume 1
Accounting
ISBN:
9781947172685
Author:
OpenStax
Publisher:
OpenStax College
College Accounting, Chapters 1-27
Accounting
ISBN:
9781337794756
Author:
HEINTZ, James A.
Publisher:
Cengage Learning,
Intermediate Accounting: Reporting And Analysis
Accounting
ISBN:
9781337788281
Author:
James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:
Cengage Learning
Principles of Accounting Volume 1
Accounting
ISBN:
9781947172685
Author:
OpenStax
Publisher:
OpenStax College
College Accounting, Chapters 1-27
Accounting
ISBN:
9781337794756
Author:
HEINTZ, James A.
Publisher:
Cengage Learning,
Intermediate Accounting: Reporting And Analysis
Accounting
ISBN:
9781337788281
Author:
James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:
Cengage Learning
College Accounting (Book Only): A Career Approach
Accounting
ISBN:
9781337280570
Author:
Scott, Cathy J.
Publisher:
South-Western College Pub
Financial Accounting
Accounting
ISBN:
9781305088436
Author:
Carl Warren, Jim Reeve, Jonathan Duchac
Publisher:
Cengage Learning