Question
On October 1, 2021 Raider Lawn Corp. borrowed $100,000 cash from Wright Patt Credit Union. Raider Lawn signs a 6 month, 12% note payable.
On October 1, 2021 Raider Lawn Corp. borrowed $100,000 cash from Wright Patt Credit Union. Raider Lawn signs a 6 month, 12% note payable. Interest is payable at maturity, Raider Lawn's year end is December 31. The appropriate adjustment for Raider Lawn on December 31, 2021 is: 1) Interest Expense Interest Payable 2) Interest Expense 4) Cash Interest Payable 3) Interest Expense Cash 6,000 Interest Revenue. 3,000 3,000 3,000 6,000 3,000 3,000 3,000
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Financial Accounting Tools for Business Decision Making
Authors: Paul D. Kimmel, Jerry J. Weygandt, Donald E. Kieso, Barbara Trenholm, Wayne Irvine
5th Canadian edition
978-1118024492
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