Brad?s Building Supplies entered into the following transactions involving current liabilities during 2020 and 2021:

Required

Prepare journal entries to record these transactions for Brad?s Building Supplies.

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2020 Purchased merchandise on credit from Shape Products for $156,000. The terms were 2/10, n/60. Assume Brad uses a perpetual inventory system; ignore sales taxes. Feb. 4 Mar. Borrowed $133,000 from the First Provincial Bank by signing a note payable for 30 days at 4.5%. Apг. Paid the First Provincial Bank note. 5 Gave Shape Products $16,000 cash and a $140,000, 30-day, 5% note to secure an extension on Brad's past-due account. May Paid the note given to Shape on April 5. Nov. Borrowed $216,000 at First Provincial Bank by signing a note payable for 60 days at 4%. 16 Borrowed money at the Bank of Montreal by giving a $30,000, 90-day, 5% note payable. Dec. 31 Recorded an adjusting entry for the accrual of interest on the note to the First Provincial Bank. 31 Recorded an adjusting entry for the accrual of interest on the note to the Bank of Montreal. 2021 Jan. 15 Paid the November 16 note to First Provincial Bank. Mar. Paid the principal and interest on the December 1 note given to the Bank of Montreal.