Chapter 7 - Cash and Receivables - Review and Practice - Brief Exercises - Page 363: BE7-7

11/1/07 Notes Receivable........................................ 30,000 …………………….Sales................................................................ 30,000 12/31/07 Interest Receivable........................................ 300 ……………………Interest Revenue.................................................. 300* 5/1/08 Cash ................................................................ 30,600 ……………Notes Receivable..................................................... 30,000 ……………Interest Receivable....................................................... 300 …………... Interest Revenue............................................................ 600**

30,000 X 6% X 2/12= 300* 30,000 X 6% X 4/12 = 600**