E8-10 (Algo) Recording Notes Receivable Transactions, Including Accrual Adjustment for Interest (LO 8- 3] The following transactions took place for Smart Solutions Incorporated. 2020 8. July b. December 31 Accrued interest on the notes. toaned $71,000 to enployees of the company and received back one-year, peroent notes. 2021 c. July 1 Received interest on the notes. So interest has been recorded since December 31.) d. July 1 Received principal on the notes. Required: Prepare the journal entries that Smart Solutions Incorporated would record for the above transactions. (If no entry is required for a transaction/event, select "No Journal Entry Required" In the first account field.) View transaction is View journal entry worksheet No Date July 01, 2020 General Journal Debit Credit 1 No Transaction Recorded M8-10 (Algo) Using the Interest Formula to Compute Interest (LO 8-3) Required: Complete the following table by computing the missing amounts for the following independent cases. (Do not round Intermediate calculations. Round "Annual Interest Rate" to 1 decimal place.) Principal Amount on Notes Receivable Annual Interest Rate Time Period Interest Earned a $ 60,000 42,000 b. $ 11.6% % 92% 6 months 9 months 12 months $ c 3,528 2.944 $ E10-2 (Algo) Recording Notes Payable through the Time to Maturity [LO 10-2) Many businesses borrow money during periods of increased business activity to finance inventory and accounts receivable. For example, Mitt Corporation builds up its inventory to meet the needs of retailers selling to Christmas shoppers. A large portion of Mitt Corporation sales are on credit . As a result, Mitt Corporation often collects cash from its sales several months after Christmas. Assume on November 1, 2021, Mitt Corporation borrowed $8.3 million cash from Metropolitan Bank and signed a promissory note that matures in six months. The interest rate was 8.00 percent payable at maturity. The accounting period ends December 31, Required: 1, 2 & 3. Prepare the required journal entries to record the note on November 1, 2021, the adjusting entry required on December 31 2021 (if any), and interest on the maturity date, April 30, 2022, assuming that interest has not been recorded since December 31, 2021. (Enter your answers in whole dollars. If no entry is required for a transaction/event, select "No Journal Entry Required in the first account field.) View transaction let View journal entry worksheet No 1 Date Nov 01, 2021 Debit Credit General Journal Cash Notes Payable (long-term) 2 Dec 31, 2021 Interest Expense Interest Payable 3 Apr 30, 2022 Interest Expense