Penny Resources Determines That It Has Not Yet Recorded the Accrual

question 1

Multiple Choice

Penny Resources determines that it has not yet recorded the accrual for 2010 interest revenue to be received in 2011.Assuming the amount to be recorded for 2010 is $8,000, the required adjustment on December 31, 2010 is

• A)debit interest receivable and credit interest revenue $8,000.
• B)debit interest revenue and credit interest receivable $8,000.
• C)debit interest payable and credit interest revenue $8,000.
• D)no entry required.

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Definitions:

Social Responsibility Strategy

An approach by a company to contribute to societal goals of a philanthropic, activist, or charitable nature by engaging in or supporting volunteering or ethically-oriented practices.

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Unethical or illegal actions taken by a company or its employees, which can include fraud, insider trading, and environmental violations among others.

Mid-level Managers

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