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Question
On October 1, Ramos Co. signed a $90,000, 60-day note at the bank to be paid on November 30. (Assume a 360-day year is used for interest computations.)
a. Journalize the entries for October 1 and November 30, assuming the note was discounted at 6%.
b. Journalize the entries for October 1 and November 30, assuming the note was interest-bearing at 6%.
Answer
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