Question
Harveys Corporation borrowed $84,000 from the bank on November 1, 2014. The note had a 8 percent annual rate of interest and matured on April
Harveys Corporation borrowed $84,000 from the bank on November 1, 2014. The note had a 8 percent annual rate of interest and matured on April 30, 2015. Interest and principal were paid in cash on the maturity date.
| What amount of interest expense was paid in cash in 2014? | |
| What amount of interest expense was reported on the 2014 income statement? |
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Accounting Principles Volume 2 Chapters 13 To 26
Authors: Jerry J. Weygandt
11th Edition
1118342070, 978-1118342077
