Question
A not for profit organization is currently working in Oman for the development of society. Initially to establish the structure, they obtained a loan from
A not for profit organization is currently working in Oman for the development of society. Initially to establish the structure, they obtained a loan from Bank Muscat. Now they are paying a total of RO 36,500 where RO 30,000 is the principal amount and RO 6,500 is the interest. If this transaction is from proprietary fund, then it will be recorded as ________________.
a.
Expenditure 36,500 Cash/Bank 36,500
b.
Long term Loan 36,500 Cash/Bank 36,500
c.
None of the options
d.
Long term loan 30,000 Interest expense 6,500 Cash/Bank 36,500
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Fundamental financial accounting concepts
Authors: Thomas P. Edmonds, Frances M. Mcnair, Philip R. Olds, Edward
8th edition
978-007802536, 9780077648831, 0078025362, 77648838, 978-0078025365
