On November 1, Eli Co. received a $6,000, 60-day, 6% note from a customer as payment on his $6,000 account. Eli's journal entry to record this transaction on November 1, would include a: ___________
Note is received against a payment of sale mad on credit. A new receivable will be built with the name of Note receivable, so this account will be debited. To deduct the value from the account receivable we will credit the account receivable account due to its debit nature. Later on the interest will be accrued and added in this balance.
