Accrue interest on a note receivable, Accounting Basics

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Accrue interest on a note receivable

The accountant at Abco, Inc. made an adjusting entry at the end of February to accrue interest on a note receivable from a customer. The effect of this entry is to:

A. Decrease ROI for February.

B. Increase ROI for February.

C. Decrease working capital at February 28.

D. Decrease the acid-test ratio at February 28.

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Accounting Basics: Accrue interest on a note receivable

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Accounting Basics: Accrue interest on a note receivable

Reference No:- TGS041419

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Recent Questions Asked Accounting Basics

Q : Money needed at an interest cost

Q : Note payable to bank

Q : Difference between yield curve and risk structure

Q : Understate the value of the derivative

Q : Accrue interest on a note receivable

Q : Determining the value of the quick ratio

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Q : Wages accrued during the month

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Request for Solution File

Ask an Expert for Answer!!

Accounting Basics: Accrue interest on a note receivable

Reference No:- TGS041419

Recent Questions Asked Accounting Basics

Q : Money needed at an interest cost

Q : Note payable to bank

Q : Difference between yield curve and risk structure

Q : Understate the value of the derivative

Q : Accrue interest on a note receivable

Q : Determining the value of the quick ratio

Q : Interest receivable account for showed transactions

Q : Determining the return on equity

Q : Wages accrued during the month

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