$($b$)$

Carla Corporation's year$-$end is December $31.$ Assuming that no adjusting entries relative to the transactions above have been

recorded, prepare any adjusting journal entries concerning interest that are necessary to present fair financial statements at

December $31.$ Assume straight$-$line amortization of discounts. $($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 journal entries

in the order presented in the problem.$)$

No$.$ Account Titles and Explanation

Debit

Credit