Prepare the journal entry on valley sports books

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Q1. On April 18, Valley Sports gave a 120-day note payable to Slick Snowboards, instead of cash payment of an overdue account. The amount of the note was $185,000 at an interest rate of 11%. Prepare the journal entry on Valley Sports books to record the note payable.

Q2. On July 16, Freedom Flight gave a 120-day note payable to Slick and Slide Co., instead of cash payment of an overdue account. The amount of the note was $75,000 at an interest rate of 14%. Prepare the journal entry and determine the maturity date for Freedom Flight to record payment of the note.

Reference no: EM133177489

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