What Adjusting Journal Entry Is Made When an Entity Wants

What adjusting journal entry is made when an entity wants to prepare financial statements,owes interest on a borrowing during the year,but hasn't paid either the loan or the interest?

A) debit prepaid interest;and credit interest expense
B) debit interest payable;and credit interest expense
C) debit interest expense;and credit interest payable
D) debit interest payable;and credit loans payable

Correct Answer:

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Access For Free