The Following Selected Transactions Relate to Liabilities of Food Emporium

question 113

Essay

The following selected transactions relate to liabilities of Food Emporium whose fiscal year ends on December 31.
Jan.26 Negotiated a line of credit with City Bank that can be renewed annually upon bank approval.The amount available under the line of credit is $1 million at the bank's prime rate.
March 1 Arranged a six-month bank loan of $400,000 with City Bank under the line of credit agreement.Interest at the prime rate of 8% is payable at maturity.
September 1 Paid the 8% note at maturity.
Record the appropriate entries,if any,on January 26,March 1,and September 1.

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Definitions:

Caffeine Intake

The consumption of the stimulant caffeine, found in coffee, tea, and many soft drinks, which affects the central nervous system.

Dependent Variable

The variable in an experiment that is expected to change in response to manipulations of the independent variable.

Independent Variable

"A manipulated experimental factor; the variable that the experimenter changes to see what its effects are."

Longitudinal Design

A special kind of systematic observation, used by correlational researchers, that involves obtaining measures of the variables of interest in multiple waves over time.