Multiple Choice
Charleston Co. purchased 60, 6% APS Company bonds on January 1, 2017 for $60,000 cash. Interest is payable annually on January 1. The entry to record the January 1, 2018 annual interest payment would include a
A) debit to Interest Receivable for $3,600.
B) credit to Interest Receivable for $3,600.
C) credit to Interest Revenue for $3,600.
D) credit to Debt Investments for $3,600.
Correct Answer:
Verified
Correct Answer:
Verified
Q13: Under the equity method the investor records
Q14: On January 1, Connid Company purchased as
Q15: A purchase of common stock of Blue
Q16: If the cost method is used to
Q17: What are the reasons that corporations invest
Q19: If a debt investment is sold, the
Q21: If a company buys the stocks of
Q22: Buford Industries owns 40% of Appalachian Company.
Q108: An unrealized gain or loss on trading
Q164: Consolidated financial statements should be prepared only