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What amount should Jeba report as a liability for accrued interest at December 31, 2022?

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Question

On March 31, 2021, Jeba Company borrowed P5,000,000 and signed a 2-year note bearing interest at 12% per annum compounded annually. Interest is payable in full at maturity on April 1, 2023. What amount should Jeba report as a liability for accrued interest at December 31, 2022?

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