On December 1, 2019, Coke Company purchased $180,000 of equipment by issuing a 120-day, 10% note payable to Bank of Georgia.
Assuming the company's accounting period ends on December 31, the journal entry recorded by Coke Company on the note maturity date will include:
A) Debit to Interest Expense for $4,500
B) Debit to Interest Payable for $4,500
C) Debit to Interest Payable for $3,000
D) Debit to Interest Expense for $1,500
Correct Answer:
Verified
Q58: On September 1, 2019, Maibritt Equipment signed
Q59: On September 1, 2019, Bea Equipment signed
Q60: Rafael Company borrowed $24,000 from Bank of
Q61: Snow White Company borrowed $72,000 from Bank
Q62: On December 1, 2019, MAI Company purchased
Q64: Kangaroo Company signed a three-month, 8% note
Q65: Wombat Company signed a three-month, 8% note
Q66: Montana Company signed a $180,000, 90-day, 9%
Q67: Idaho Company signed a $540,000, 90-day, 9%
Q68: Charter Company has a total payroll of
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