Question

In its Year 5 financial statements, Cris Co. reported an interest expense of $85,000 in its income statement and a cash amount of $68,000 paid for interest in its cash flow statement. There was no prepaid interest or interest capitalization at either the beginning or end of Year 5. The accrued interest at December 31, Year 4 was $15,000.What amount should Cris Co. report as accrued interest payable in its December 31, Year 5 balance sheet?
a) $2,000
b) $15,000
c) $17,000
d) $32,000

Answer 1

Answer:

c: 17,000

Explanation:

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