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A company pays $9,000 in interest on notes consisting of $6,000 of interest that was accrued during the last accounting period and $3,000 of interest
A company pays $9,000 in interest on notes consisting of $6,000 of interest that was accrued during the last accounting period and $3,000 of interest that accumulated during the current accounting period but has not yet been accrued on the books. The journal entry for the interest payment should include a Multiple Choice debit to Cash for $9.000 and a credit to interest Payable for $9.000 o debit to interest Expense for $9,000 and a credit to Cash for $9.000, o debit to interest Payable for $6.000. a debit to Accrued interest for $3.000, and a credit to Cash for $9.000 o debit to interest Expense for $3.000, a debit to interest Payable for $6,000, and a credit to Cash for $9.000 o Red Mountain, Inc. has the following information from its payroll records Salaries and wages earned by employees Less: income taxes withheld from employees Less: FICA taxes withheld from employees Net pay to employees $180,000 27,080 9,000 $144,000 The employer amount of FICA taxes that Red Mountain is required to pay is equal to the amount that it withholds from its employees Assume no other payroll taxes are incurred at this time. What is Red Mountain's total expense with regards to this payroll? Multiple Choice $153,000 O $180.000
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