Multiple Choice
On May 1, 2018, Fitz installed a $498,000 sound system for International Arena. Fitz agreed to accept a $478,000 six-month, noninterest bearing note due on November 1, 2018. Fitz prepares financial statements at the end of every calendar year. Fitz's journal entry to record the collection of the note plus accrued interest on November 1, 2018, will include a ________.
A) credit to Interest Revenue for $478,000
B) debit to Interest Revenue for $20,000
C) credit to Note Receivable for $498,000
D) credit to Note Receivable for $478,000
Correct Answer:
Verified
Correct Answer:
Verified
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