On July 1, ABC Company borrowed $440,000 cash by signing a 10-year, 10% installment note requiring equal payments each June 30 of $71,608. What is the journal entry to record the first annual payment? Multiple Choice Debit Interest Expense $44,000; credit Cash $44,000. Debit Interest Expense $71,608; credit Cash $71,608. Debit Cash $440,000; debit Interest Expense $71,608; credit Notes Payable $511,608. Debit Interest Expense $44,000; debit Interest Payable $27,608; credit Cash $71,608. Debit Interest Expense $44,000; debit Notes Payable $27,608; credit Cash $71,608.

The monthly demand equation for an electric utility company is estimated to be p equals 60 minus left parenthesis 10 superscript negative 5 baseline right parenthesis x, where p is measured in dollars and x is measured in thousands of killowatt-hours. the utility has fixed costs of $3 comma 000 comma 000 per month and variable costs of $32 per 1000 kilowatt-hours of electricity generated, so the cost function is upper c left parenthesis x right parenthesis equals 3 times 10 superscript 6 baseline plus 32 x. (a) find the value of x and the corresponding price for 1000 kilowatt-hours that maximize the utility's profit. (b) suppose that the rising fuel costs increase the utility's variable costs from $32 to $38, so its new cost function is upper c 1 left parenthesis x right parenthesis equals 3 times 10 superscript 6 baseline plus 38 x. should the utility pass all this increase of $6 per thousand kilowatt-hours on to the consumers?