On March 1, 2016, Hughes Services issued a 6% long-term notes payable for $18,000
It is payable over a 3-year term in $6,000 principal installments on March 1 of each year, beginning March 1, 2017. Which of the following entries needs to be made on March 1, 2016?
A)
Long-Term Notes Payable 6,000
Cash 6,000
B)
Current Portion of Long-Term Notes Payable 18,000
Long-Term Notes Payable 18,000
C)
Long-Term Notes Payable 18,000
Accounts Payable 18,000
D)
Cash 18,000
Long-Term Notes Payable 18,000
D
You might also like to view...
In a statement of cash flows using the indirect method, which of the following events would not be classified as an operating activity?
A) a gain from sale of equipment B) ?the receipt of a cash dividend C) proceeds from the issuance of bonds D) interest expense paid on a loan
If a check has been marked "payment refused?not sufficient funds," a person in possession of it
can qualify as a holder in due course. Indicate whether the statement is true or false
While Tender Chicken Inc. operates in a monopolistically competitive industry, Future Wireless Inc. operates in a monopoly. Keeping this information in mind, which of the following statements is most likely true?
A. The number of buyers will be limited for both Tender Chicken and Future Wireless. B. Tender Chicken will have more pricing power than Future Wireless does. C. Tender Chicken will have more profit potential than Future Wireless. D. The threat of new entrants will be higher for Tender Chicken than for Future Wireless.
If the discount (or interest) rate is positive, the present value of an expected series of payments will always exceed the future value of the same series.
Answer the following statement true (T) or false (F)