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On January 1, 2016, a business borrowed $13,000 on a five-year, 7% note payable. At December 31, 2016, the business should record OA. interest payable of $910. B. note receivable of $13,000. OC. cash payment of $13,000. OD. nothing. (The note is already on the books.)

On January 1, 2016, a business borrowed $13,000 on a five-year, 7% note payable. At December 31, 2016, the business should record OA. interest payable of $910. B. note receivable of $13,000. OC. cash payment of $13,000. OD. nothing. (The note is already on the books.)

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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On January 1, 2016, a business borrowed $13,000 on a five-year, 7% note payable. At December 31, 2016, the business should record OA. interest payable of $910. B. note receivable of $13,000. OC. cash payment of $13,000. OD. nothing. (The note is already on the books.)
Transcribed Image Text:On January 1, 2016, a business borrowed $13,000 on a five-year, 7% note payable. At December 31, 2016, the business should record OA. interest payable of $910. B. note receivable of $13,000. OC. cash payment of $13,000. OD. nothing. (The note is already on the books.)
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