Al-Seib Resources, a natural energy supplier, borrowed OR80 million cash on November 1, 2019, to fund a geological survey. The loan was made by the National Bank of Oman (NBO) under a short-term credit line. Al- Seib Resources issued a 9- month, 12% promissory note with interest payable at maturity. Al- Seib Resources' financial period is the calendar year. the appropriate adjusting entry for the note by Al-Seib Resources on December 31, 2019. Show calculations.
Al-Seib Resources, a natural energy supplier, borrowed OR80 million cash on November 1, 2019, to fund a geological survey. The loan was made by the National Bank of Oman (NBO) under a short-term credit line. Al- Seib Resources issued a 9- month, 12% promissory note with interest payable at maturity. Al- Seib Resources' financial period is the calendar year. the appropriate
Select one:
O a. Interest expense 800,000 cash 800,000
O b. Interest expense 800,000 Interest payable 800,000
O c. Interest payable 1,600,000 Interest expense 1,600,000
d. Interest expense 1,600,000 Interest payable 1,600,000
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