Sloan Company receives a $3,000, 3-month, 6% promissory note from Day Company in settlement of an open accounts receivable. What entry will Sloan Company make upon receiving the note?
a. Notes Receivable 3,045
Accounts Receivable—Day Company 3,045
b. Notes Receivable 3,045
Accounts Receivable—Day Company 3,000
Interest Revenue 45
c. Notes Receivable 3,000
Interest Receivable 45
Accounts Receivable—Day Company 3,000
Interest Revenue 45
d. Notes Receivable 3,000
Accounts Receivable—Day Company 3,000
Answer: D
Accounting
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