At the End of the Year,a Company Makes a Journal

question 9

Multiple Choice

At the end of the year,a company makes a journal entry to accrue the interest expense on a short-term note payable.As a result of this transaction:

• A)current liabilities increase and current assets increase.
• B)current liabilities increase and stockholders' equity increases.
• C)current liabilities decrease and stockholders' equity decreases.
• D)current liabilities increase and stockholders' equity decreases.

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Definitions:

Job Context

The environmental and situational factors surrounding a job, including physical conditions, work tasks, and the social and organizational setting, which affect an employee's performance and satisfaction.

Job Content

The specific duties, tasks, and responsibilities that make up an individual's job role.

Acquired Needs Theory

A psychological theory that suggests human needs can be acquired or learned through life experiences.

Need For Power

A psychological drive that expresses itself in the desire to control or influence others.