Cameron’s Cleaning Services Ltd has overdue fees receivable from L. Shore for $10 000. On 22 May, Shore requested a 90-day extension of the payment date, and the company agreed to accept a 90-day, 10% promissory note in exchange for the account receivable.

Required

A. Prepare a general journal entry to record the receipt of the promissory note.

B. Prepare general journal entries to record the cash received on the note on its maturity date, assuming the financial year ends on 30 June.

C. What impact would GST have on this transaction, if any?