Wisconsin Bank lends Local Furniture Company $80,000 on November 1. Local Furniture Company signs a $80,000, 6%, 4 - month note. The fiscal year end of Local Furniture Company is December 31. The journal entry made by Local Furniture Company on December 31 is:A.debit Interest Expense and credit Cash for $800 B.debit Interest Payable and credit Interest Expense for $800 C.debit Interest Expense and credit Interest Payable for $800 D.debit Interest Payable and credit Cash for $800thanks for helpapapreciated

Adjusting journal entry: At year-end when the company finalizes its accounts then any unrecognized…

Answered: Wisconsin Bank lends Local Furniture…

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter9: Accounting For Receivables

Section: Chapter Questions

Problem 22MC: A company collects an honored note with a maturity date of 24 months from establishment, a 10%...

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Wisconsin Bank lends Local Furniture Company $80,000 on November 1. Local Furniture Company signs a $80,000, 6%, 4 - month note. The fiscal year end of Local Furniture Company is December 31. The journal entry made by Local Furniture Company on December 31 is:

debit Interest Expense and credit Cash for $800

debit Interest Payable and credit Interest Expense for $800

debit Interest Expense and credit Interest Payable for $800

debit Interest Payable and credit Cash for $800

thanks for help

apapreciated

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