The Adjusting Entry to Record Interest Owed on Obligations at the End

question 130

Multiple Choice

The adjusting entry to record interest owed on obligations at the end of the accounting period includes a debit to:

• A)Interest Payable and credit to Interest Expense.
• B)Interest Expense and credit to Interest Payable.
• C)Interest Receivable and credit to Interest Receivable.
• D)Interest Expense and credit to Notes Payable.

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