For notes payable whose interest is stated separately,the adjusting entry would consist of a debit to Interest Payable and a credit to Interest Expense.

Name: For notes payable whose interest is stated separately,the adjusting entry would consist of a debit to Interest Payable and a credit to Interest Expense.
Brand: Quizplus
Rating: 4.7 (26 reviews)

Question

Quizplus · Accepted Answer

The adjusting entry would consist of a debit to Interest Expense and a credit to Interest Payable to record the interest that has accrued but not yet paid.

For Notes Payable Whose Interest Is Stated Separately,the Adjusting Entry