on March 1, 20x1 Nick Co. issued a P6000, 12%note dated January 1, 20x1 in exchange an outstanding account payable of P6,000. The principal and the 6-month interest on the nore due on July 1, 20x1. On initial recognition, which of the following acounts increased? a. Prepaid Interest b. interest payable c. discount on nte payable d. interest expense

on March 1, 20x1 Nick Co. issued a P6000, 12%note dated January 1, 20x1 in exchange an outstanding account payable of P6,000. The principal and the 6-month interest on the nore due on July 1, 20x1. On initial recognition, which of the following acounts increased? a. Prepaid Interest b. interest payable c. discount on nte payable d. interest expense

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter13: Long-term Liabilities

Section: Chapter Questions

Problem 14MC: Whirlie Inc. issued $300,000 face value, 10% paid annually, 10-year bonds for $319,251 when the...

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