5 20 points On June 30, 2021, the Esquire Company sold some merchandise to customer for $36.000. In payment, Esquire agreed to accept a 79 note requiring the payment of interest and principal on March 31, 2022. The 7% rate is appropriate in this situation. Required: 1. Prepare journal entries to record the sale of merchandise (omit any entry that might be required for the cost of the goods sold), the December 31, 2021 interest accrual, and the March 31, 2022 collection. (Do not round Intermediate calculations.) 2 If the December 31.djusting entry for the interest accrual is not prepared, by how much will income before income taxes be over-or understated in 2021 and 2022? Answer is complete but not entirely correct. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Prepare journal entries to record the sale of merchandise (omit any entry that might be required for the cost of the goods sold), the December 31, 2021 interest accrual, and the March 31, 2022 collection. (If no entry is required for a transaction/event, select "No journal entry required in the first account field.) No Date General Journal Debit Credit 1 June 30, 2021 Notes receivable 38,000 Sales revenue 36,000 2 December 31, 202 Interest receivable 1.260 Interest revenue 1,260 3 March 31, 2022 37.890 Cash Interest receivable Nates receivable Interest receivable 1,260 36,000 1,260 5 On June 30, 2021, the Esquire Company sold some merchandise to a customer for $36.000. In payment, Esquire agreed to accepta 7% note requiring the payment of interest and principal on March 31, 2022. The 7% rate is appropriate in this situation. Required: 1. Prepare journal entries to record the sale of merchandise (omit any entry that might be required for the cost of the goods sold), the December 31, 2021 interest accruel, and the March 31, 2022 collection. (Do not round Intermediate calculations.) 2 If the December 31 sdjusting entry for the interest sccrual is not prepared, by how much will income before income taxes be over-or understated in 2021 and 2022? Answer is complete but not entirely correct. Complete this question by entering your answers in the tabs below. Required 1 Required 2 If the December 31 adjusting entry for the interest accrual is not prepared, by how much will income before income taxes be over-or understated in 2021 and 2022? (Do not round intermediate calculations) 2021 income before income taxes would be 2022 income before income taxes would be understated by overstated by s S 1,260 1,260