188. On November 1, 2018, ABC signed a $100,000, 6%, six-month note payable with the amount borrowed plus accrued interest due six months later on May 1, 2019. ABC records the appropriate adjusting entry for the note on December 31, 2018. In recording the payment of the note plus accrued interest at maturity on May 1, 2019, ABC would
     1. Debit Interest Expense, $2,000. B) Debit Interest Expense, $3,000.

C) Debit Interest Payable, $2,000. D) Debit Interest Expense, $1,000.

189. In a periodic inventory system, the purchase of inventory is debited to:
     1. Purchases. B) Cost of goods sold.

C) Accounts payable. D) Inventory.

190. In a Balanced set of Accounting Records, EVERY Account must balance.
     1. False B) True

191. The balance sheet of ABC reports total assets of $1,500,000 and $1,700,000 at the beginning and end of the year, respectively. Net income and sales for the year are $240,000 and $2,000,000, respectively. What is ABC's profit margin?

A) 15%. B) 16%. C) 14.12%. D) 12%.

Date		Quantity	Price
March 1	Beginning Inventory	20	$2
March 7	Purchase	15	3
March 11	Sale	25	7
March 12	Purchase	20	4

195) What is ending inventory using FIFO cost flow assumptions?

A) $70. B) $110. C) $55. D) $170.