Use the information above to answer the following question.What is the entry to record the payment at the maturity date of the note?
A)Option A
B)Option B
C)Option C
D)Option D

Question

Use the information above to answer the following question.What is the entry to record the payment at the maturity date of the note? 
A)Option A 
B)Option B 
C)Option C 
D)Option D

Quizplus · Accepted Answer

Option B correctly records the payment at maturity, with a debit to Notes Payable to cancel the liability and a credit to Cash to reflect the payment made. Options A, C, and D have errors such as recording the payment before maturity or using incorrect accounts.

Use the Information Above to Answer the Following Question