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On August 1, Year 1 Hernandez Company loaned $48,000 cash to Acosta Company. The one-year note carried a 5% rate of interest, which of the

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On August 1, Year 1 Hernandez Company loaned $48,000 cash to Acosta Company. The one-year note carried a 5% rate of interest, which of the following shows how the accrual of interest revenue in Year 2 will effect Hernandez's financial statements? Balance Sheet Income Statement Statement of Cash Flows 2,400 OA AssetsLiab.Equity Rev.. ExNet Ine. 1,000 NA 1,000 1,000 NA 1,000 Balance Sheet Income Statement Statement of Cash Flows AssetsLiabEquityRev.Exp Net Inc. NA Balance Sheet Assets: Liab. +Equity 1,000 1,000 1,000 NA 1,000 Income Statement Statement of Cash Flows NA Rev.. Exp.= Net Inc. 1,400 NA 1,400 1,400 NA 1,400 Statement of Cash Flows 1,400 OA Balance Sheet Income Statement Re.. Exp.= Net Inc. 1,400 1,400 1,400 NA 1,400

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