a-company-signed-a-200000-6-9-month-note-payable-on-april-1st-what-is-the-adjust

Question

A company signed a $200,000, 6% 9-month note payable on April 1st. What is the adjusting entry for interest expense on December 31st of the same year?

Accepted Answer

Debit Interest Expense $$9,000; Credit Interest Payable 9$$,000.

Answer

Debit Interest Expense $$12,000; Credit Interest Payable 12$$,000.

Answer

Debit Interest Payable $$9,000; Credit Interest Expense 9$$,000.

Answer

Debit Interest Payable $$12,000; Credit Interest Expense 12$$,000.

A company signed a \$200,000, 6% 9-month note payable on April 1st. What is the adjusting entry for interest expense on December 31st of the same year?