1. On May 28, Jackson Jones borrowed $40,000 cash and gave the lender a 5%, 90 day note. Which of the following is the correct journal entry to record the note on Jones books on May 28th - the day the note was given?

2. A company had the following plant asset:

New equipment cost $64,000

Salvage value 4,000 Useful life 5 years

The machine is also expensed to produce 150,000 units during its useful life.

The depreciation expense for the first year using the Double Declining Balance method of depreciation is

3. Which of the following is correct to record the Bad Debts Expense at December 31?