Compute the interest expenses that would be recognized on the income statement for the year ended 31, 2011 and explain the effect of interest on the cash flow statement for the year 2011 and indicate whether the recorded interest expense is a deferral or accrual.

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Chapter 3, Problem 14SEB

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Compute the interest expenses that would be recognized on the income statement for the year ended 31, 2011 and explain the effect of interest on the cash flow statement for the year 2011 and indicate whether the recorded interest expense is a deferral or accrual.

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