Here are some selected transactions of Michael’s Grocery Sup¬

ply carried out during the year ended December 31;

Instructions 1. Record these transactions in the general journal (page 47).
2. Show the calculation of each due date.
3. Dec. 31 Record the adjusting entry to account for accrued interest receivable for the Chan and Brannon notes, which are not due to be paid until the next fiscal period.
4. Jan. 1 Record the reversing entry. (Assume closing entries have been made.)
5. Jan. 7 Record the receipt of payment on the Brannon note on January 7 of the new fiscal year.

Transcribed Image Text:

June 9 Received a 60-day, 9 percent note, dated June 9, for $3,662 from Misty's Foods for merchandise. (The sale was not previously recorded.) 21 Received a 30-day, 10 percent note, dated June 21, for $2,838 from Lindsey Restaurants, a charge customer, for a sale recorded previously. July 1 Received a 90-day, 10 percent note, dated July 1, for $1,980 from Armstrong, Inc., a charge customer, for a sale recorded previously. 21 Received a check from Lindsey Restaurants in payment of principal and interest on its note. Aug. 8 Received payment of interest from Misty's Foods for its note of June 9 and a new 30-day, 9 percent note, for $3,662, dated August 8. 20 Received a 60-day, 9.5 percent note, dated August 20, from C. T. Tamparo, a charge customer, for $3,010, for a sale recorded previously. Sept. Dec. 7 Misty's Foods paid its note, dated August 8, principal plus interest. 9 Discounted the note received from C. T. Tamparo, dated August 20, at the Hammond Bank; discount rate, 10 percent. 29 Received a check from Armstrong, Inc., in payment of principal and interest on its note. 6 Received a 60-day, 9 percent note, dated December 6, from C. L. Chan, a charge customer, for $2,642, for a sale recorded previously.. 8 Received a 30-day, 9.5 percent note, for a personal loan, dated December 8, from J. Brannon, an employee, for $380.