Zook Builders borrowed $10,000 on April 1, 20X1. The loan has an annual** interest rate of...

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Zook Builders borrowed $10,000 on April 1, 20X1. The loan has an "annual** interest rate of 12%. Zook Builders repaid the loan in full (principal and interest) on January 31, 20X2. No payments were made on the loan between April 1, 20X1 and January 31,20X2. The single journal entry to record the repayment of the loan (both principal and interest) on January 31, 20X2 includes which of the following? A DEBIT Interest Expense for $100 A CREDIT to Interest Expense for $100 A DEBIT to Cash $11,000 A CREDIT to Interest Payable for $900 A CREDIT to Notes Payable for $10,000 Zook Builders borrowed $10,000 on April 1, 20X1. The loan has an "annual** interest rate of 12%. Zook Builders repaid the loan in full (principal and interest) on January 31, 20X2. No payments were made on the loan between April 1, 20X1 and January 31,20X2. The single journal entry to record the repayment of the loan (both principal and interest) on January 31, 20X2 includes which of the following? A DEBIT Interest Expense for $100 A CREDIT to Interest Expense for $100 A DEBIT to Cash $11,000 A CREDIT to Interest Payable for $900 A CREDIT to Notes Payable for $10,000

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Ans A credut To Interest paya... View the full answer