4.

The following are selected 2025 transactions of Flint Corporation. Sept. 1 Purchased inventory from Encino Company on account for $46,500. Flint records purchases gross and uses a periodic inventory system. Oct. 1 Issued a $46,500,12-month, 8% note to Encino in payment of account. Oct. 1 Borrowed $46,500 from the Shore Bank by signing a 12-month, zero-interest-bearing $50,220 note. (a) Prepare journal entries for the selected transactions above. (If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. Credit account titles are automatically indented when amount is entered. Do not indent manually. Record entries in the order displayed in the problem statement. List all debit entries before credit entries.) (b) Prepare adjusting entries at December 31. (If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. Credit account titles are automatically indented when amount is entered. Do not indent manually. Round answers to 0 decimal places, e.g. 5,125. List all debit entries before credit entries.) Compute the total net liability to be reported on the December 31 balance sheet for: (1) The interest-bearing note $ (2) The zero-interest-bearing note $