On April 1, 20X1, Allen Company signed a $12,000, one-year, 10 percent note payable. At due date, April 1, 20X2, the principal and interest will be paid. Interest expense should be reported on the statement of earnings (for the year ended December 31, 20X1) as which of the following?

Question

Quizplus · Accepted Answer

The Answer of On April 1, 20X1, Allen Company signed a $12,000, one-year, 10 percent note payable. At due date, April 1, 20X2, the principal and interest will be paid. Interest expense should be reported on the statement of earnings (for the year ended December 31, 20X1) as which of the following?

On April 1, 20X1, Allen Company Signed a $12,000, One-Year