On November 1, 2012, EZ Products Borrowed $48,000 on a 5

question 93

Multiple Choice

On November 1, 2012, EZ Products borrowed $48,000 on a 5%, 10-year note with annual installment payments of $4,800 plus interest due on November 1 of each succeeding year. Which of the following journal entries would be needed at December 31, 2012 to accrue interest from November 1 through year-end?

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Definitions:

Ethyne

A hydrocarbon compound with the formula C2H2, also known as acetylene, used as a fuel and a chemical building block.

Double Bonds

Chemical bonds between two chemical elements involving four bonding electrons instead of the usual two.

Acetylene

A colorless, highly flammable gas, C2H2, used as a fuel and a building block for synthetic materials; it’s the simplest alkyne.

Methanol

A light, volatile, colorless liquid alcohol, CH₃OH, used as a solvent, antifreeze, fuel, and as a starting material for chemical synthesis.