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On November 1 2021 Weller Industries Which Uses a Calendar

Question 166

Multiple Choice

On November 1 2021 Weller Industries which uses a calendar year as its fiscal year signs a $30000 7% six-month note payable.The transaction to record the payment of the note and entire interest on May 1 2022?


A) Decrease Notes Payable $30000 Increase Interest Expense 700
Decrease Interest Payable 350
Decrease Cash $31050
B) Decrease Notes Payable $32100 Decrease Cash $32100
C) Decrease Notes Payable $31050 Decrease Cash $31050
D) Decrease Notes Payable $30000 Increase Interest Expense 1050
Decrease Cash $31050

Correct Answer:

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