Taylor Bank lends Guarantee Company $100,137 on January 1. Guarantee Company signs a $100,137, 12%, 9-month, interest-bearing note. The entry made by Guarantee Company on January 1 to record the proceeds and issuance of the note is Oa. Notes Payable 100,137 Interest Payable 4,506 Cash 100,137 Interest Expense 4,506 Ob. Interest Expense 9,012 Cash 91,125 Notes Payable 100,137 Oc. Cash 109,149 Interest Expense 9,012 Notes Payable 100,137 Od. Cash 100,137 Notes Payable 100,137

Taylor Bank lends Guarantee Company $100,137 on January 1. Guarantee Company signs a $100,137, 12%, 9-month, interest-bearing note. The entry made by Guarantee Company on January 1 to record the proceeds and issuance of the note is Oa. Notes Payable 100,137 Interest Payable 4,506 Cash 100,137 Interest Expense 4,506 Ob. Interest Expense 9,012 Cash 91,125 Notes Payable 100,137 Oc. Cash 109,149 Interest Expense 9,012 Notes Payable 100,137 Od. Cash 100,137 Notes Payable 100,137

College Accounting (Book Only): A Career Approach

13th Edition

ISBN:9781337280570

Author:Scott, Cathy J.

Publisher:Scott, Cathy J.

ChapterD: Notes Payable And Notes Receivable

Section: Chapter Questions

Problem 3P

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