Exercise 5-17 (Algo) Record notes receivable and interest revenue (LO5-7)

On April 1, 2024, Washtenaw Corporation realized that one of its main suppliers was having difficulty meeting delivery schedules, which was hurting Washtenaw's business. The supplier explains that it has a temporary lack of funds that is slowing its production cycle. Washtenaw agrees to lend $450,000 to its supplier using a 12-month, 12% note.

Required: Record the following transactions for Washtenaw Corporation: The loan of $450,000 and acceptance of the note receivable on April 1, 2024. The adjusting entry for accrued interest on December 31, 2024. Cash collection of the note and interest on April 1, 2025.

Journal entry worksheet 3 Record the loan of $450,000 and acceptance of the note receivable on April 1 , 2024. Note: Enter debits before credits. Journal entry worksheet Record the adjusting entry for accrued interest on December 31, 2024. Note: Enter debits before credits. Journal entry worksheet Record the cash collection of the note and interest on April 1, 2025. Note: Enter debits before credits