Determine amount of cash received-prepare journal entries

Reference no: EM1355855

A company issued a 4-year, $50,000, non-interest-bearing note to its bank on January 1, 2010. The implicit interest rate is 12%. Determine the amount of cash received and prepare the journal entries for (a) the Jan. 1 issuance and (b) the Dec. 31 recognition of interest.

Reference no: EM1355855

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