Question
2. Tinkerbell Company Limited has a March 31, 2020 year end. During the last year they had the following transactions: - October 1, 2019 -
2. Tinkerbell Company Limited has a March 31, 2020 year end. During the last year they had the following transactions:
- October 1, 2019 - Tinkerbell sold goods to Pan Incorporated receiving a $40,000, three month, 6% note.
- January 1, 2020 - collected the Pan Incorporated note.
- January 1, 2020 - Tinkerbell loaned cash of $100,000 to Hook Enterprises, receiving a 6 month, 8% promissory note.
- March 31, 2020 - made an adjusting entry to accrue the interest on the Hook Enterprises note.
- Required: Prepare the required adjusting journal entries. (Descriptions not required)
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