GL0701 (Algo). Based on Problem 7-5A LO C2, C3, P4 The following selected transactions are from Lee Company Year 1 December 16 Accepted a $22,800, 60-day, 10% note in granting Carlos Sanchez a time extension on his past-due account receivable. December 31 Made an adjusting entry to record the accrued interest on the Sanchez note. Year 2 February 14 Received Sanchez's payment of principal and interest on the note dated December 16. March 2 Accepted a $11,eee, 10%, 90-day note in granting a time extension on the past-due account receivable from Mitchell Company March 17 Accepted $8,400, 30-day, 7% note in granting Paola Parker a time extension on her past-due account receivable. April 16 Parker dishonored her note 31 Mitchell Company dishonored Its note. August 7 Accepted a $12,000, 90-day, 6% note in granting a time extension on the past-due account receivable of King Company September 3 Accepted a $13,800, 60-day, 10% note in granting Sarah Walker a time extension on his past-due account receivable. November 2 Received payment of principal plus interest from Walker for the September 3 note. November 5 Received payment of principal plus interest from King for the August note. December 1 wrote off the Parker account against the Allowance for Doubtful Accounts. Requirement General Journal General Ledger Trial Balance Schedule of Recelvables Calculation of Interest 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. Dates: January 01 to: January 31 Lee Company Calculation of Interest revenue February 14 - Sanchez note: Principal Interest rate Number of days interest to be recorded in Year 2 $ 22.800 Number of days Interest to be recorded in Year 2 Principal Interest rate Number of days' interest to be recorded in Year 2 Number of days interest to be recorded in Year 2 Principal Interest rate Number of days' interest to be recorded in Year 2 Number of days' interest to be recorded in Year 2 Number of days interest to be recorded in Year 2 Total interest revenue - Year 2 S 0 Requirement General Journal General Ledger Trial Balance Schedule of Receivables Calculation of Interest Here are the balances in Accounts and Notes receivable based on your journal entries: Dates: January 01 to: Janua Lee Company Schedule of Accounts Receivable Accounts receivable - S, Walker Accounts receivable - Mitchell Company Total accounts receivable $ 0 11,275 11,275 $ Lee Company Schedule of Notes Receivable Notes receivable - S. Walker Total accounts receivable $ 0 $ 0