On October 1, 2020, an entity borrowed cash and signed a three-year interest bearing note on which both the principal and interest are payable on October 1, 2023. On December 31, 2021, accrued interest payable should A. not be reported as a liability B. be reported as current liability C. be reported as noncurrent liability D. be reported as part of noncurrent note payable
On October 1, 2020, an entity borrowed cash and signed a three-year interest bearing note on which both the principal and interest are payable on October 1, 2023. On December 31, 2021, accrued interest payable should A. not be reported as a liability B. be reported as current liability C. be reported as noncurrent liability D. be reported as part of noncurrent note payable
Chapter12: Current Liabilities
Section: Chapter Questions
Problem 1MC: Which of the following is not considered a current liability? A. Accounts Payable B. Unearned...
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On October 1, 2020, an entity borrowed cash and signed a three-year interest bearing note on which both the principal and interest are payable on October 1, 2023. On December 31, 2021, accrued interest payable should
A. not be reported as a liability
B. be reported as current liability
C. be reported as noncurrent liability
D. be reported as part of noncurrent note payable
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