Bon will save this responte.Question 2 ofQuestion 2ColosOn November 1, 2020, Hamad Town Trading signed a 120-day, e% note payable with e face vailue of $180.000. The adjusting entry for tthe acorued intiareat at December 31 on the notewould be? (Use 360 days a year.)OA No adjusting entry is required.O B, Debit: Interest Expense, $1,200;Credit: Interest Payable, $1,20OC Debit: Interest Expense, $2,400;Credit Interest Payable, $2,400.O D. Debit: Interest Payable, $1,200;Credit: Interest Expense, $1,200.

Annual interest=Value of note×Rate=$180,000×8%=$14,400

jounton of 3R Question 2 On November 1, 2020, Hamad Town Trading signeda 120-dey, B% note paysble wtha would be? (Use 360 days a year) valus of S180.c00. The adustng entry amber 31 OA No adjusting entry le required. OB, Debit Interest Expense, $1,200; Credit: Interest Payable, $1,202 OC Debit: Interest Expense, $2,400; Credit Interest Payable, $2,400. OD. Debit: Interest Payable, $1,200; Credit: Interest Expense, $1,200.

jounton of 3R Question 2 On November 1, 2020, Hamad Town Trading signeda 120-dey, B% note paysble wtha would be? (Use 360 days a year) valus of S180.c00. The adustng entry amber 31 OA No adjusting entry le required. OB, Debit Interest Expense, $1,200; Credit: Interest Payable, $1,202 OC Debit: Interest Expense, $2,400; Credit Interest Payable, $2,400. OD. Debit: Interest Payable, $1,200; Credit: Interest Expense, $1,200.

Cornerstones of Financial Accounting

4th Edition

ISBN:9781337690881

Author:Jay Rich, Jeff Jones

Publisher:Jay Rich, Jeff Jones

Chapter3: Accrual Accounting

Section: Chapter Questions

Problem 5MCQ: Dallas Company loaned to Ewing Company on December 1, 2019. Ewing will pay Dallas $720 of interest...

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