Best,Inc.loaned $100,000 for three months on November 1 to one of its customers at the rate of 6%.The principal amount of the loan plus interest is due on the following February 1.Which of the following is the adjusting journal entry that will be recorded on December 31?
A) Debit Cash and credit Interest Revenue for $4,000.
B) Debit Interest Receivable and credit Interest Revenue for $4,000.
C) Debit Interest Receivable and credit Interest Revenue for $1,000.
D) Debit Interest Receivable and credit Interest Revenue for $500.
Correct Answer:
Verified
Q145: Best,Inc.loaned $100,000 for three months on November
Q146: On the maturity date of a $10,000,3-month,8%
Q147: On December 31,2018,Infinity Inc.records an adjusting entry
Q148: Your company converted an existing account receivable
Q149: Which of the following is recorded with
Q151: On March 1,Cents,Inc.lent $1,000 to an employee
Q152: If a $40,000,6%,note receivable with a two-year
Q153: On December 1,2018,a company lends a new
Q154: Which of the following statements about the
Q155: On December 1,2018,a company converted an existing
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents