Valley spa purchased $10,800 in plumbing components from tubman co. valley spa studios signed a 60-day, 14% promissory note for $10,800.
if the note is dishonored, what is the journal entry to record the dishonored note? (use 360 days a year.)a. debit accounts receivable-valley spa $10,800; credit notes receivable $10,800.b. debit accounts receivable-valley spa $11,052, credit interest revenue $252; credit notes receivable $10,800.c. debit bad debt expense $11,052; credit accounts receivable $11,052.d. debit accounts receivable $11,052; debit bad debt expense $252; credit notes receivable $10,800.e. debit bad debt expense $10,800; credit notes receivable $10,800.