An Adjustment That Must Be Made for the Interest on a Note

question 60

Multiple Choice

An adjustment that must be made for the interest on a note payable that is incurred during the period but not paid or recorded because payment is not due is called:

• A)Notes Payable.
• B)Accrued Interest Income.
• C)Accrued Interest Expense.
• D)Discount Payable Liability.

---

Definitions:

Intrinsic Motivation

The desire to behave in a certain way because it is enjoyable or satisfying in and of itself.

External Rewards

Incentives provided by an external source, such as money or praise, that motivate individuals to perform certain tasks.

Tension

A mental or physical state resulting from stress or strain, often characterized by feelings of anxiety or discomfort.

Primary Drives

States of tension or arousal that arise from a biological need and are unlearned.