7. Which of the following statements is false?

Question 7 options:

	Notes payable are sometimes used instead of accounts payable.
	Most notes payable and bank loans are non-interest bearing.
	Notes payable reflect a promise to repay a specified amount of money either at a fixed future date or on demand.
	Notes payable usually require the borrower to pay interest.
	None of the above.

8. Slow Ltd. lends Quick Ltd. $90,000 on April 1, accepting a 10-month, 5% interest-bearing note. Interest is due the first of each month, commencing May 1. Slow Inc. prepares financial statements on April 30. What adjusting entry should be made before the financial statements can be prepared?

Question 8 options:

Interest Receivable			375
	Interest Payable			375

Cash			375
	Interest Revenue			375

Interest Receivable			3,750
	Interest Revenue			3,750

Note Receivable			90,000
	Cash			90,000