A $10,000, 12%, 90-day note payable is issued today to a lender and the cash proceeds are deposited into the Cash account. When this note is paid in full in 90 days, the amount of the payment will total $10,200

Indicate whether the statement is true or false


false

Business

You might also like to view...

The politician seeking re-election referred to the importance of "revenue enhancements" for providing additional community services. This is an example of

a. Doublespeak or corporate speak b. Denotative meaning c. Cultural bias d. Emphatic tone

Business

A firm's peak borrowing needs will probably be overstated if it bases its monthly cash budget on the assumption that both cash receipts and cash payments occur uniformly over the month but in reality receipts are concentrated at the beginning of each month.

Answer the following statement true (T) or false (F)

Business

Shopping carts for B2B are fairly simple, but a shopping cart for B2C may be more complex

Indicate whether the statement is true or false

Business

A company sells a piece of equipment half-way through the accounting period. The straight-line rate of depreciation on the equipment is $40,000 per year. Before preparing the entry to record the sale of the equipment, the company should first debit:

A. Accumulated Depreciation for $40,000 and credit Cash for $40,000. B. Depreciation Expense for $40,000 and credit Accumulated Depreciation for $40,000. C. Cash for $20,000 and credit Depreciation Expense for $20,000. D. Depreciation Expense for $20,000 and credit Accumulated Depreciation for $20,000.

Business