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The unadjusted trial balance for Amazon as of December 31, 2022 appears below. Debit Credit Cash $1,600 Accounts Receivable 1,200 Prepaid Insurance 1,200 Supplies 2,600 Land 13,000 Office Furniture 5,900 Accounts Payable $1,200 Unearned Revenue 2,000 Note Payable 7,200 Common Stock 3,900 Retained Earnings 9,700 Dividends 1,400 Service Revenues 5,300 Rent Expense 800 Salaries Expense 1,600 $29,300 $29,300 Additional Information: 1. The Company paid 1,200 for a one-year insurance policy on July 1, 2022. 2. The note payable represents a 8 month, 8% loan obtained from The Bank & Trust on October 1, 2022. The correct adjusting entry for number "2" above includes a: Select one: O a. Debit to Interest Expense for $144 O b. Credit to Interest Payable for $377 c. The additional information from #2, above, does not need to be adjusted. d. Credit to Interest Expense for $144 e. Debit to Interest Payable for $144

The unadjusted trial balance for Amazon as of December 31, 2022 appears below. Debit Credit Cash $1,600 Accounts Receivable 1,200 Prepaid Insurance 1,200 Supplies 2,600 Land 13,000 Office Furniture 5,900 Accounts Payable $1,200 Unearned Revenue 2,000 Note Payable 7,200 Common Stock 3,900 Retained Earnings 9,700 Dividends 1,400 Service Revenues 5,300 Rent Expense 800 Salaries Expense 1,600 $29,300 $29,300 Additional Information: 1. The Company paid 1,200 for a one-year insurance policy on July 1, 2022. 2. The note payable represents a 8 month, 8% loan obtained from The Bank & Trust on October 1, 2022. The correct adjusting entry for number "2" above includes a: Select one: O a. Debit to Interest Expense for $144 O b. Credit to Interest Payable for $377 c. The additional information from #2, above, does not need to be adjusted. d. Credit to Interest Expense for $144 e. Debit to Interest Payable for $144

Intermediate Accounting: Reporting And Analysis
Intermediate Accounting: Reporting And Analysis
3rd Edition
ISBN:9781337788281
Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Chapter6: Cash And Receivables
Section: Chapter Questions
Problem 9RE: Refer to RE6-8. On April 23, 2020, McKinncy Co. receives a check, from Mangold Corporation for...
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The unadjusted trial balance for Amazon as of December 31, 2022 appears below. Debit Credit Cash $1,600 Accounts Receivable 1,200 Prepaid Insurance 1,200 Supplies 2,600 Land 13,000 Office Furniture 5,900 Accounts Payable $1,200 Unearned Revenue 2,000 Note Payable 7,200 Common Stock 3,900 Retained Earnings 9,700 Dividends 1,400 Service Revenues 5,300 Rent Expense 800 Salaries Expense 1,600 $29,300 $29,300 Additional Information: 1. The Company paid 1,200 for a one-year insurance policy on July 1, 2022. 2. The note payable represents a 8 month, 8% loan obtained from The Bank & Trust on October 1, 2022. The correct adjusting entry for number "2" above includes a: Select one: O a. Debit to Interest Expense for $144 O b. Credit to Interest Payable for $377 c. The additional information from #2, above, does not need to be adjusted. d. Credit to Interest Expense for $144 e. Debit to Interest Payable for $144
Transcribed Image Text:The unadjusted trial balance for Amazon as of December 31, 2022 appears below. Debit Credit Cash $1,600 Accounts Receivable 1,200 Prepaid Insurance 1,200 Supplies 2,600 Land 13,000 Office Furniture 5,900 Accounts Payable $1,200 Unearned Revenue 2,000 Note Payable 7,200 Common Stock 3,900 Retained Earnings 9,700 Dividends 1,400 Service Revenues 5,300 Rent Expense 800 Salaries Expense 1,600 $29,300 $29,300 Additional Information: 1. The Company paid 1,200 for a one-year insurance policy on July 1, 2022. 2. The note payable represents a 8 month, 8% loan obtained from The Bank & Trust on October 1, 2022. The correct adjusting entry for number "2" above includes a: Select one: O a. Debit to Interest Expense for $144 O b. Credit to Interest Payable for $377 c. The additional information from #2, above, does not need to be adjusted. d. Credit to Interest Expense for $144 e. Debit to Interest Payable for $144
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