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On November 1, 2018, L. Yang Company borrowed $12,500 on an 8-month, 9% note payable that requires the full amount borrowed along with the interest
On November 1, 2018, L. Yang Company borrowed $12,500 on an 8-month, 9% note payable that requires the full amount borrowed along with the interest incurred to be paid at maturity. Assuming simple interest, L. Yangs journal entry to record the repayment of the note on June 30, 2019 includes a:
a. Credit to cash for $13,065.50
b Debit to interest expense for $750
c. Debit to interest expense for $565.50
d. Debit to interest expense for $1,125
e. Debit to interest payable for $1,125
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