ACC 557 TUTOR Motivated Minds/acc557tutor.com ACC 557 TUTOR Motivated Minds/acc557tutor.com | Page 61

Cash 255,000
Notes Payable 250,000
Interest Payable 5,000
Cash 255,000
Notes Payable 250,000
Interest Payable 20,000
Cash 270,000
Notes Payable 250,000
Interest Expense 5,000
Cash 255,000
15-
Multiple Choice Question 61
Most companies pay current liabilities
by creating long-term liabilities.
out of current assets.
by issuing interest-bearing notes payable.
by issuing stock.
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ACC 557 Week 7 Chapter 11 (E11-7, E11-13, E11-17, P11-
3A)
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