On March 1,2018,Lewis Services Issued a 6% Long-Term Notes Payable

question 137

Multiple Choice

On March 1,2018,Lewis Services issued a 6% long-term notes payable for $18,000.It is payable over a 3-year term in $6000 principal installments on March 1 of each year,beginning March 1,2019.Which of the following entries needs to be made on March 1,2018?

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Definitions:

Depreciation Expense

The distribution of a physical asset's cost throughout its lifespan.

Operating Activities

Business actions that are part of a company's primary operations, including revenue generation and expenses tied to its core business functions.

Statement of Cash Flows

A financial report that provides aggregate data regarding all cash inflows and outflows a company receives from its ongoing operations, investment, and financial activities.

ASPE

Accounting Standards for Private Enterprises; a set of accounting standards for private companies in Canada, designed to meet the needs of private entities.