Riley Company received a notice with its bank statement that the bank had collected a note receivable for $5,000 plus $150 of interest. The bank had credited these amounts to Riley 's account less a collection fee of $10. Riley Company had already accrued the interest for this note on its books.
(a)How will these items affect Riley Company's bank reconciliation?
(b)Prepare the journal entry that Riley Company will make to record this information on its books.
Answers: 3
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Riley Company received a notice with its bank statement that the bank had collected a note receivabl...
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