Interest Expense had an adjusted balance of $1,178.The adjusting entry for accrued interest was for $382.The unadjusted balance for Interest Expense was a:
A)$382 debit.
B)$1,560 debit.
C)$1,560 credit.
D)$796 debit.

Question

Quizplus · Accepted Answer

The adjusted balance of Interest Expense can be calculated as follows:
Adjusted balance = Unadjusted balance + Adjusting entry
$1,178 = Unadjusted balance + $382
Unadjusted balance = $1,178 - $382
Unadjusted balance = $796
Therefore, the unadjusted balance for Interest Expense was a $796 debit.

Interest Expense Had an Adjusted Balance of $1,178