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(8 Points) Michaels Corp. borrowed $100,000 from New South West Bank on January 1, 2021, by signing a 4 year 12% note. 1. Prepare the

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(8 Points) Michaels Corp. borrowed $100,000 from New South West Bank on January 1, 2021, by signing a 4 year 12% note. 1. Prepare the journal entry to record the debt on January 1, 2021. 2. Prepare any adjusting journal entry required on December 31, 2021. (8 Points) Assume that on January 1, 2022, Paper Mill, Inc., sells $1,000,000, 10-year, 8% bonds at 98 with interest payable on January 1 of each year. 3. Prepare the journal entry to record the debt on January 1, 2022. 4. Prepare any adjusting journal entry required on December 31, 2022

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