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Question
On May 15, Holt's Clothiers borrowed some money on a 4-month note to provide cash during the slow season of the year. The interest rate on the note was 8%. At the time the note was due, the amount of interest owed was $800.
Instructions
(a) Determine the amount borrowed by Holt's.
(b) Assume the amount borrowed was $36,000. What was the interest rate if the amount of interest owed was $720?
(c) Prepare the entry for the initial borrowing and the repayment for the facts in part (a).
Answer
This answer is hidden. It contains 157 characters.
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