GL0701 (Algo) - Based on Problem 7-5A LO C2, C3, P4 The following selected transactions are from Martin Company. Year 1 December 16 Accepted a $24,060,60-day, 124 note in granting Kay wright a time extension on his past-due account receivable. December 31 Made an adjusting entry to record the accrued interest on the Wright note. Year 2 February 14 Received Wright's payment of principal and interest on the note dated December 16. ruary 14 Received Wright's payment of principal and interest on the note dated December 16 . March 2 Accepted a $7,000,6%,96-day note in granting a time extension on the past-due account receivable from Lee Company March 17 Accepted a $9,000, 30-day, 103 note in granting Carolyn Collins a time extension on her past-due account receivable. April 16 Collins dishonored her note. 31 Lee Company dishonored its note. August 7 Accepted a $14,000,90-day, 128 note in granting a time extension on the past-due account receivable of Perry Company September 3 Accepted a $15,000,60-day, 10% note in granting Jeffrey Wilson a time extension on his past-due account receivable. November 2 Received payment of principal plus interest from Wilson for the September 3 note. November 5 Received payment of principal plus interest from Perry for the August 7 note. December 1 Wrote off the Collins account against the Allowance for Doubtful Accounts. General Journal tab - Joumalize the transactions related to the notes and accounts receivable of Martin Co. The General Ledger, Trial Balance and Schedule of Payables will be updated based on your entries. General Ledger tab - One of the advantages of general ledger software is that posting is done automatically. To see the detall of all transactions that affect a specific account, or the balance in an account at a specific point in time, click on the General Ledger tab. Trial Balance tab - General ledger software also automates the preparation of trial balances. A trial balance lists each account from the General Ledger, along with its balance, either a debit or a credit. Total debits should always equal total Journal entry worksheet February 14 Received Wright's payment of prindpal and interest on the $24,000,60-day, 12% note dated December 16 . The Martin Company does not prepare reversing entries. Verify the amount of interest using the "CALCULATION OF INTEREST" tab. Note: Enter debits before credits. \begin{tabular}{|c|c|c|c|c|} \hline \multicolumn{5}{|c|}{ Accounts recelvable-J. Wilson } \\ \hline No. & Date & Debit & Credit & Balance \\ \hline & January 01 & & & 15,000 \\ \hline \end{tabular} \begin{tabular}{|r|c|c|c|c|} \hline \multicolumn{5}{|c|}{ Account recelvablo - Other } \\ \hline No. & Date & Dobit & Credit & Balance \\ \hline & January 01 & & & 39,700 \\ \hline \end{tabular} \begin{tabular}{|c|c|c|c|c|} \hline \multicolumn{5}{|c|}{ Accounts recelvable - Perry } \\ \hline No. & Date & Debit & Credit & Balance \\ \hline & January 01 & & & 14,000 \\ \hline \end{tabular} \begin{tabular}{|c|c|c|c|c|} \hline \multicolumn{5}{|c|}{ Accounts receivable - Loe Company } \\ \hline No. & Date & Debit & Credit & Balance \\ \hline & January 01 & & & 7,000 \\ \hline \end{tabular} \begin{tabular}{|c|c|c|c|c|} \hline \multicolumn{5}{|c|}{ Allowance for doubtful accounts } \\ \hline No. & Dato & Debit & Credit & Balance \\ \hline & January 01 & & & 11,000 \\ \hline \end{tabular} \begin{tabular}{|c|c|c|c|c|} \hline \multicolumn{5}{|c|}{ Accounts recelvable-C.Collins } \\ \hline No. & Date & Debit & Credit & Balance \\ \hline & January 01 & & & 9,000 \\ \hline \end{tabular} \begin{tabular}{|c|c|c|c|c|} \hline \multicolumn{5}{|c|}{ Interest receivable } \\ \hline No. & Date & Debit & Credit & Balance \\ \hline & January 01 & & & 120 \\ \hline \end{tabular} \begin{tabular}{|c|c|c|c|c|} \hline \multicolumn{5}{|c|}{ Notes receivable - K. Wright } \\ \hline No. & Date & Debit & Credit & Balance \\ \hline & January 01 & & & 24.000 \\ \hline \end{tabular} \begin{tabular}{|c|c|c|c|c|} \hline \multicolumn{5}{|c|}{ Merehandise inventory } \\ \hline No. & Date & Debit & Credit & Balance \\ \hline & January 01 & & & 5,000 \\ \hline \end{tabular} \begin{tabular}{|c|c|c|c|c|} \hline \multicolumn{5}{|c|}{ Common stock } \\ \hline No. & Date & Debit & Credit & Balance \\ \hline & January 01 & & & 115,000 \\ \hline \end{tabular} Here are the balances in Accounts and Notes recelvable based on your journal entries: Enter the principal amount, interest rate, and number of days of interest to be recorded for each note. Verify that total interest revenue agrees with the trial balance