Question
Multiple Select Question On October 1, Light Corp. sold goods on account to Dark Corp. Light agreed to accept a $100,000, 8%, 6-month interest-bearing note
Multiple Select Question
On October 1, Light Corp. sold goods on account to Dark Corp. Light agreed to accept a $100,000, 8%, 6-month interest-bearing note from Dark in payment for the goods. Light has a December 31 year-end and principal and interest are due at maturity. The entry required on Light's books on April 1 when the note is due requires a (Select all that apply.)
credit to interest income, $8,000.
credit to note receivable, $104,000
credit to interest receivable, $2,000.
credit to note receivable, $100,000
debit to interest receivable, $4,000.
debit to note receivable, $100,000
credit to interest revenue, $2,000
debit to cash, $102,000
debit to interest revenue, $4,000.
debit to cash, $104,000
Working note will be nice. Thanks
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