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Natalka [10]
4 years ago
15

On July 1, 2021, a company loans one of its employees $20,000 and accepts a ten-month, 9% note receivable. Calculate the amount

of interest revenue the company will recognize in 2021 and 2022
Business
1 answer:
omeli [17]4 years ago
4 0

Answer:

Interest in 2021=900

Interest in 2022=600

Explanation:

Calculatation of the amount of interest revenue the company will recognize in 2021 2022

Month in 2021 - July To December

Interest in 2021 = 20,000*9%*6/12

Interest in 2021=900

Month in 2022 - January To April

Interest in 2022 = 20,000*9%*4/12

Interest in 2022=600

Therefore the amount of interest revenue the company will recognize in 2021 will be 900 while 2022 will be 600

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