A Business Makes a Payment of $1,200 on a Note

question 120

Multiple Choice

A business makes a payment of $1,200 on a note payable,consisting of a $200 interest payment and a $1,000 principal payment.Which of the following journal entries would be recorded?

• A) Cash is credited for $1,000; Interest expense is credited for $200; and Notes payable is debited for $1,200.
• B) Notes payable is credited for $1,000; Cash is credited for $200; and Interest expense is debited for $1,200.
• C) Cash is credited for $1,200; Notes payable is debited for $1,000; and Interest expense is debited for $200.
• D) Notes payable is credited for $1,200; Cash is debited for $1,000; and Interest expense is debited for $200.

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Definitions:

Homosexuality

A sexual orientation characterized by an emotional, romantic, or sexual attraction to individuals of the same gender.

Environmental Factors

External factors, including physical, chemical, and biological factors, that can influence an organism's growth, development, and survival.

Biological Factors

Elements within an organism's biological makeup or environment that influence its behavior, health, and development.

Refractory Period

Following an initial stimulus, a phase where a nerve or muscle cannot react to more stimulation.