Teller Purchased Merchandise from TechCom on October 17 of the Current

question 21

Multiple Choice

Teller purchased merchandise from TechCom on October 17 of the current year. TechCom accepted Teller's $4,800, 90-day, 10% note as payment. What entry should TechCom make on January 15 of the next year when the note is paid?

• A)\(\begin{array} { | l | r | r | }
• \hline \text { Notes Receivable } & 4,800 & \\
• \hline \text { Interest Receivable } & 120 & \\
• \hline \text { Sales } & & 4,920 \\
• \hline
• \end{array}\)
• B)\(\begin{array} { | l | r | r | }
• \hline \text { Cash } & 4,920 & \\
• \hline \text { Notes Receivable } & & 4,920 \\
• \hline
• \end{array}\)
• C)\(\begin{array} { | l | r | r | }
• \hline \text { Cash } & 4,920 & \\
• \hline \text { Interest Revenue } & & 100 \\
• \hline \text { Interest Receivable } & & 20 \\
• \hline \text { Notes Receivable } & & 4,800 \\
• \hline
• \end{array}\)
• D)\(\begin{array} { | l | r | r | }
• \hline \text { Cash } & 4,920 & \\
• \hline \text { Interest Revenue } & & 20 \\
• \hline \text { Interest Receivable } & & 100 \\
• \hline \text { Notes Receivable } & & 4,800 \\
• \hline
• \end{array}\)
• E)\(\begin{array} { | l | r | r | }
• \hline \text { Cash } & 4,920 & \\
• \hline \text { Interest Revenue } & & 120 \\
• \hline \text { Notes Receivable } & & 4,800 \\
• \hline
• \end{array}\)

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The process of coating the axons of neurons with a fatty layer, called myelin, to increase the speed at which information travels through the nervous system.

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