A parent loans $90,000 to its subsidiary on May 1 of the current year, at...

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Accounting

A parent loans $90,000 to its subsidiary on May 1 of the current year, at an annual interest rate of 2%. Interest payments are due semiannually on October 31 and April 30 of each year. The accounting year ends
December 31.
The consolidation eliminating entries at year-end include a debit to interest revenue in the amount of:
Select one:
a. $1,200
b. $1,800
c. $300
d. $0
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