On May 1, a Company Borrowed $30,000 from the First

question 81

Multiple Choice

On May 1, a company borrowed $30,000 from the First National Bank on a 1-year, 6% note. Assuming the company keeps its records on a calendar year basis, an entry is needed on December 31st to increase

• A)interest expense by $600.
• B)interest expense by $1,800.
• C)interest payable by $900.
• D)interest payable by $1,200.

---

Definitions:

Well-Being

A comprehensive term for the condition of an individual or group, encompassing physical, psychological, and social aspects of health and happiness.

Climate

The long-term pattern of temperature, humidity, wind, etc., in a particular area, significantly influenced by geographical location and atmospheric conditions.

Marital Status

A legal or social acknowledgment of a person's current state regarding marriage, such as single, married, divorced, or widowed.

Age

The length of time that a person has lived or a thing has existed.