as of 12/31/21, she owed $3500 to Dell Finance. the monthly payment on that loan is $150 including interest at 5%. Sallys last payment to Dell was 12/31/21.

What are the journal entrys?

Sally's last payment to Dell Finance was 12/31/21. That payment included interest through 12/31. The next payment of $150 is due on February 1. The annual interest rate (simple interest) on the loan is 5%. TIP: Think about what that February 1st payment will cover. Does any of the amount relate to January activity? You may need to create a new account