On January 1, 2020, Jet Air Inc. contracted with Systems Plus Inc. to manufacture heavy equipment. Jet Air Inc. issued a \(\$ 75,000\) note to Systems Plus Inc. in exchange for the equipment that required 5\% interest payments annually over 3 years on December 31 of each year. Although the fair value of the customized heavy equipment was not reasonably determinable, it was determined that \(10 \%\) was a reasonable rate of interest for such a transaction.

Required 

Provide journal entries to be made by Jet Air Inc. at each of the following dates.

a. January 1,2020 -Date of note issuance.

b. December 31,2020 -Date of interest payment.

c. December 31,2021 -Date of interest payment.

d. December 31, 2022-Date of interest payment.

e. December 31,2022-Date of note payment at maturity.