Grayson Bank agrees to lend the Trust Company $109,296 on January 1. Trust Company signs a $109,296, 10%, 9-month, interest-bearing note. The entry made by Trust Company on January 1 to record the proceeds and issuance of the note is: Select the correct answer. Interest Expense$8,197 Cash$101,099 Notes Payable$109,296 Cash$121,592 Interest Expense$8,197 Notes Payable$109,296 Interest Payable$4,099 Cash$117,493 Interest Expense$8,197 Notes Payable$109,296 Cash$109,296 Notes Payable$109,296
Grayson Bank agrees to lend the Trust Company $109,296 on January 1. Trust Company signs a $109,296, 10%, 9-month, interest-bearing note. The entry made by Trust Company on January 1 to record the proceeds and issuance of the note is: Select the correct answer. Interest Expense$8,197 Cash$101,099 Notes Payable$109,296 Cash$121,592 Interest Expense$8,197 Notes Payable$109,296 Interest Payable$4,099 Cash$117,493 Interest Expense$8,197 Notes Payable$109,296 Cash$109,296 Notes Payable$109,296
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question
Grayson Bank agrees to lend the Trust Company $109,296 on January 1. Trust Company signs a $109,296, 10%, 9-month, interest-bearing note. The entry made by Trust Company on January 1 to record the proceeds and issuance of the note is:
Select the correct answer.
Interest Expense$8,197
Cash$101,099
Notes Payable$109,296
Cash$121,592
Interest Expense$8,197
Notes Payable$109,296
Interest Payable$4,099
Cash$117,493
Interest Expense$8,197
Notes Payable$109,296
Cash$109,296
Notes Payable$109,296
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