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Montano1993 [528]
3 years ago
12

On September 1, Kennedy Company loaned $100,000, at 12% annual interest, to a customer. Interest and principal will be collected

when the loan matures one year from the issue date. Assuming adjustments are only made at year-end, what is the adjusting entry for accruing interest that Kennedy would need to make on December 31, the calendar year-end?
a. Debit Interest Expense, $12,000; credit Interest Payable, $12,000
b. Debit Interest Expense, $4,000; credit Interest Payable, $4,000
c. Debit Interest Receivable, $4,000; credit Interest Revenue, $4,000.
d. Debit Interest Receivable, $12,000; credit Cash, $12,000
e. Debit Cash, $4,000; credit Interest Revenue, $4,000.
Business
1 answer:
GenaCL600 [577]3 years ago
6 0

Answer:c. Debit Interest Receivable, $4,000; credit Interest Revenue, $4,000.

Explanation:

The interest payable = Principal x Rate x Time (period)

= $100,000 x 12% x 4/12 ( September to December)

$100,000 x 0.12 x 1/3

$100,000 x 0.04

=$4000

Journal entry to record accrued interest at Year end for loan issued on sept 1st.

Date         Account titles                   Debit         Credit

Dec 31st     Interest Receivable        $4000

                  Interest   Revenue                                $4000

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Answer:

The correct answer is option (B).

Explanation:

According to the scenario, the given data are as follows:

Purchased office supplies = $4,500

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Supplies remaining (in end of month) = $180

So, To calculate supplies used in February we use following method:

Supplies Used  = Supplies in Beginning + Purchased office supplies - Supplies in Ending

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3 years ago
The scenario wherein many files about the same person exist across different departments within an organization is called data _
Kamila [148]

When a person has several files across different departments in an organization, this is called data C) Redundancy

Redundancy:

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If a company has records of the same person, saying the same thing, across different departments, this is data redundancy as the person's records are being repeated in an unnecessary manner.

In conclusion, the scenario described is data redundancy.

Options for this question include:

A) Repetition

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C) Redundancy

D) Duplication

<em>Find out more at brainly.com/question/13438926. </em>

3 0
2 years ago
The meaning of the “To cash (Tax paid)” entry posted in the Provision for taxation account is
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Costello Corporation reported pretax book income of $500,900. During the current year, the reserve for bad debts increased by $6
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Answer:

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Answer:

participant perceives deviations but unrelated to researcher

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In the case when the study is designed in order to evaluate how an employee reaction for interrupt at the time when an employee attempt to answer his or her email. After various interruption, the design should represent that there is a the participant that perceives the deviation but it is not related to the researcher as the changes responses via participants attach with the deviations

Therefore as per the given situation, the above represent the answer

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