Question: Candleton signed a two-year, interest-bearing note payable with a face value of $8,000 and an effective interest rate of 8 percent. Interest payments on the

Candleton signed a two-year, interest-bearing note payable with a face value of $8,000 and an effective interest rate of 8 percent. Interest payments on the note are made annually. REQUIRED: Provide the journal entries that would be recorded over the life of the note assuming the fol¬ lowing stated interest rates.

a. 8 percent

b. 0 percent

c. 6 percent

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