Described below are certain transactions of Sweet Corporation. The company uses the periodic inventory system.

1.		On February 2, the corporation purchased goods from Indigo Company for $66,400 subject to cash discount terms of 2/10, n/30. Purchases and accounts payable are recorded by the corporation at net amounts after cash discounts. The invoice was paid on February 26.
2.		On April 1, the corporation bought a truck for $53,000 from Sunland Motors Company, paying $4,000 in cash and signing a 1-year, 10% note for the balance of the purchase price.
3.		On May 1, the corporation borrowed $79,400 from Chicago National Bank by signing a $88,520 zero-interest-bearing note due 1 year from May 1.

Sweet Corporations 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. List all debit entries before credit entries.) (need explanation for this question)

\begin{tabular}{l} ate \\ y 2v \\ \hline \end{tabular} Account Titles and Explanation Debit Credit Purchases 65072 Accounts Payable Accounts Payable 65072 Purchase Discounts Lost 1328 Cash Trucks 53000 Cash Notes Payable Cash 79400 Discount on Notes Payable 9120 Notes Payable Sweet 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 O for the amounts. Credit account titles are automatically indented when amount is entered. Do not indent manually. List all debit entries before credit entries.)