Answer:
The financial statement will report the note receivable of the amount of $9,000 and interest receivable of $300
Explanation:
Calculation for what Cushion's financial statements report for this situation at December 31
Based on the information given we were told that the Corporation has the amount of $9,000 as note receivable from a customer with an Interest of 4% which has accrued for 10 months on the note which mean that the financial statements will report will report the note receivable of the amount of $9,000 and interest receivable of the amount of $300 at December 31 which was calculated as :
Interest receivable =$9,000×0.04×10/12
Interest receivable =$300
Therefore the financial statement will report the note receivable of the amount of $9,000 and interest receivable of $300
