Explanation:
The computation of given question is shown below:-
A.
Note Due date Calculation Amount
1. 13 Feb $33,000 × 30 ÷ 360 × 4% $110
2. 23 Apr $60,000 × 45 ÷ 360 × 7% $525
3. 10 Oct $48,000 × 90 ÷ 360 × 5% $600
4. 6 Nov $16,000 × 75 ÷ 360 × 6% $200
5. 14 Jan $36,000 × 60 ÷ 360 × 8% $480
6. 8 Feb $24,000 × 60 ÷ 360 × 6% $240
B. 10 Oct
Accounts receivable Dr, $48,600
To Interest revenue $600
To Notes receivable $48,000
(Being dishonor of notes receivable is recorded)
C. 31 Dec
Interest receivable $452
To Interest revenue $452
(Being Interest accrued on notes is recorded)
Note:- Accrued interest = ($36,000 × 8% × 46 ÷ 360) + ($24,000 × 6% × 21 ÷ 360)
= $368 + $84
= $452
D.
a. 14 Jan
Cash Dr, $36,480
To Interest receivable $368
To Interest revenue $112
To Notes receivable $36,000
(Being notes and matured honored is recorded)
b. 8 Feb
Cash Dr, $24,240
To Interest receivable $84
To Interest revenue $156
To Notes receivable $24,000
(Being notes and matured honored is recorded)
Note 5:- Interest revenue = Interest receivable - Interest accrued
= $480 - $368
= $112
Note 6:- Interest revenue = Interest receivable - Interest accrued
= $240 - $84
= $156
