On November 1, 2024, a company signed a $104,000, 3%, six-month note payable with the amount borrowed plus accrued interest due six months later on May 1, 2025. The company recorded accrued interest on December 31, 2024. The payment of the note and interest on May 1, 2025, causes assets to decrease by $105,560 and which of the following? (Do not round your intermediate calculations.) Multiple Choice О О Liabilities to decrease by $104,520 and stockholders' equity to decrease by $1,040. Liabilities to decrease by $104,000 and stockholders' equity to decrease by $3,120. Liabilities to decrease by $106,080 and stockholders' equity to decrease by $1,040. Liabilities to decrease by $105,560.
On November 1, 2024, a company signed a $104,000, 3%, six-month note payable with the amount borrowed plus accrued interest due six months later on May 1, 2025. The company recorded accrued interest on December 31, 2024. The payment of the note and interest on May 1, 2025, causes assets to decrease by $105,560 and which of the following? (Do not round your intermediate calculations.) Multiple Choice О О Liabilities to decrease by $104,520 and stockholders' equity to decrease by $1,040. Liabilities to decrease by $104,000 and stockholders' equity to decrease by $3,120. Liabilities to decrease by $106,080 and stockholders' equity to decrease by $1,040. Liabilities to decrease by $105,560.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:On November 1, 2024, a company signed a $104,000, 3%, six-month note payable with the amount borrowed plus accrued interest due six months later on May 1,
2025. The company recorded accrued interest on December 31, 2024. The payment of the note and interest on May 1, 2025, causes assets to decrease by
$105,560 and which of the following? (Do not round your intermediate calculations.)
Multiple Choice
О
О
Liabilities to decrease by $104,520 and stockholders' equity to decrease by $1,040.
Liabilities to decrease by $104,000 and stockholders' equity to decrease by $3,120.
Liabilities to decrease by $106,080 and stockholders' equity to decrease by $1,040.
Liabilities to decrease by $105,560.
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