On July 1, Homer Simpson signed a 30-year home mortgage contract in
the amount of $300,000. The interest rate on the mortgage is
4.35%compounded monthly, making the monthly payments $1,493.44. The
first payment is due on August 1 and the second payment is due on
September 1. Homer is a dedicated accountant, so he records all of
his household transactions in debit-and-credit format. The journal
entry to record the second payment on September 1 includes
A DEBIT to Interest Expense...