Loob Company had the following loans at 12% interest payable at maturity. The entity repaid each loan on scheduled maturity date. Maturity date 10/31/2021 7/31/2021 1/31/2022 Date Amount Term 11/1/2020 2/1/2021 5/1/2021 500,000 1,500,000 800,000 1 year 6 months 9 months The entity recorded interest expense when the loans are repaid. As a result interest expense of P150,000 was recorded in 2021.

Loob Company had the following loans at 12% interest payable at maturity. The entity repaid each loan on scheduled maturity date. Maturity date 10/31/2021 7/31/2021 1/31/2022 Date Amount Term 11/1/2020 2/1/2021 5/1/2021 500,000 1,500,000 800,000 1 year 6 months 9 months The entity recorded interest expense when the loans are repaid. As a result interest expense of P150,000 was recorded in 2021.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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