File a formal complaint with human resorces
The following journal entry will be passed in the books of accounts and the interest expense is calculated to an amount of $9600
<u>Explanation:</u>
Given data:
amount of note: $200000, annual principal payments to be made each year at December 31st = $40000, interest amount to be charged = 6 percent, duration of note = 5 years
the following calculation is made in order to find out the amount of interest:
Amount of note minus principal payment multiply with rate of interest
now, putting the figures in formula:
interest = 200000 minus 40000 = $160000 multiply with .06 = $9600
Thus, the interest amount = $9600
The interest expense will be debited with an amount of $9600 in the books of accounts.
In a command economy, it is the b) government who decides what goods will be produced.
