Adv. Accounting - Ch. 9 Review

Match it! Select the correct answer from the pull down...Good luck!

When a note payable is repaid, the amount of cash paid equals the maturity value of the note.

Wilson, Inc. initially records supplies as an expense; therefore, it should record a reversing entry for supplies.

Supplies may be recorded initially as expenses or as assets.

The original amount of a note is called the

If the principal of a 90-day note is $4,000 and the interest due at maturity is $100, the interest rate on the note is

The interest accrued on money borrowed is called

The accrual for federal income tax is recorded as an adjusting entry by debiting Federal Income Tax Payable and crediting Federal Income Tax Expense.

The beginning balance of Supplies is $15,000, and the adjusting entry to record the supplies used is $10,000. The amount of supplies used during the fiscal period is $5,000.