Solved

HCF, a Finance Company, Lends Able Business $12,000 at 5

Question 146

Multiple Choice

HCF, a finance company, lends Able Business $12,000 at 5% on December 1, 2020. HCF's adjusting entry on December 31, 2020, should include


A) A debit to Interest Earned for $50
B) A credit to Interest Receivable for $50
C) A credit to Interest Earned for $50
D) A debit to Cash for $600
E) A debit to Interest Expense for $600

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Q141: How much did Grow pay for insurance

Q142: The approach to preparing financial statements based

Q143: An unadjusted trial balance is a listing

Q144: The Office Supplies account shows a beginning

Q145: Depreciation attempts to adjust the ledger account

Q147: The purpose of depreciation is to<br>A) Measure

Q148: A trial balance prepared after adjustments have

Q149: The timeliness principle assumes that an organization's

Q150: Accumulated depreciation is shown on the balance

Q151: Before recording adjusting entries, the Office Supplies