On December 1,Watson Enterprises Signed a $24,000,60-Day,4% Note Payable as Replacement

question 93

Multiple Choice

On December 1,Watson Enterprises signed a $24,000,60-day,4% note payable as replacement of an account payable with Erikson Company.What is the journal entry that should be recorded upon signing the note?

• A)Debit Accounts Receivable $24,000;credit Notes Receivable $24,000
• B)Debit Accounts Payable $24,000;credit Notes Payable $24,000
• C)Debit Accounts Payable $24,160;credit Notes Payable $24,160
• D)Debit Notes Payable $24,000;debit Interest Expense $160;credit Accounts Payable $24,160
• E)Debit Notes Payable $24,000;debit Interest Expense $160;credit Cash $24,160

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Definitions:

Muscle Coordination

The harmonious functioning of muscle groups to produce movements that are fluid and accurately controlled.

Days

Units of time equal to 24 hours, representing the time it takes for Earth to complete one full rotation on its axis.

Sleep

A naturally recurring state of mind and body characterized by altered consciousness, reduced sensory activity, and inhibited voluntary muscle activity.

Death

The cessation of all biological functions that sustain a living organism, marking the end of life.