ABC discounted with recourse its P500,000 notes receivable, 10%, one-year note dated January 1, 2005. The note was discounted July 1, 2005 at discount rate of 12%. At maturity date, P50,000 of the discounted note was dishonored, and additional charge of P3,000 was collected by the bank. How much should be debited to Accounts Receivable for the dishonored note? P50,000 P53,000 P55,000 P58,000
ABC discounted with recourse its P500,000 notes receivable, 10%, one-year note dated January 1, 2005. The note was discounted July 1, 2005 at discount rate of 12%. At maturity date, P50,000 of the discounted note was dishonored, and additional charge of P3,000 was collected by the bank. How much should be debited to Accounts Receivable for the dishonored note? P50,000 P53,000 P55,000 P58,000
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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ABC discounted with recourse its P500,000 notes receivable, 10%, one-year note dated January 1, 2005. The note was discounted July 1, 2005 at discount rate of 12%. At maturity date, P50,000 of the discounted note was dishonored, and additional charge of P3,000 was collected by the bank. How much should be debited to
P50,000
P53,000
P55,000
P58,000
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