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On October 31, 2015, a company signed a note for $50,000 with a bank. The terms were 10% for 9 months. On December 31, 2015,
On October 31, 2015, a company signed a note for $50,000 with a bank. The terms were 10% for 9 months. On December 31, 2015, adjusting entries are recorded. What is the correct adjusting entry for this event
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Debit Interest Expense and credit Interest Payable for $833.33.
. Debit Interest Expense and credit Notes Payable for $833.33.
Debit Interest Payable and credit Interest Expense for $3,750.
Debit Interest Expense and credit Interest Payable for $3,750.
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