GL0901 - Based on Problem 9-1A LO C2, P1 The January 1, 2016 trial balance for the Griffin Company is found on the trial balance tab. The beginning balances are assumed. Nguyen Co. entered into the following transactions involving short-term liabilities in 2016 and 2017. (Use 360 days a year.) 2016 Apr. 20 Purchased $47,750 of merchandise on credit from Duerr, terms are n/30. Nguyen uses the perpetual inventory system. May 19 Replaced the April 20 account payable to Duerr with a 90-day, $38,000 note bearing 6% annual interest along with paying $9,750 in cash. July 8 Borrowed $90,000 cash from CDR Bank by signing a 120-day, 9% interest-bearing note with a face value of $90,000. Aug. 17 Paid the amount due on the note to Duerr at the maturity date. Nov. 5 Paid the amount due on the note to CDR Bank at the maturity date. Nov. 28 Borrowed $48,000 cash from Albany Bank by signing a 60-day, 10% interest-bearing note with a face value of $48,000. Dec. 31 Recorded an adjusting entry for accrued interest on the note to Albany Bank. 2017 Jan. 27 Paid the amount due on the note to Albany Bank at the maturity date. Requirement General Journal General Ledger Trial Balance Schedule of Payables Calculation of Interest 2017 payment Prepare the journal entries related to notes and accounts payable. Hint: Use the "Calculation of Interest" tab to ensure the accuracy of your entries. View transaction list Journal entry worksheet 2 3 4 5 6 7 Apr. 20. Purchased $47,750 of merchandise on credit from Duerr, terms n/30. Nguyen uses the perpetual inventory system. Note: Enter debits before credits. Account Title Debit Credit Date Apr 20 Record entry Clear entry View general journal Requirement General Journal General Ledger Trial Balance Schedule of Payables Calculation of Interest 2017 payment Enter the principal amount, interest rate, and number of days of interest to be recorded for each note. Verify that interest expense agrees with your journal entries and the trial balance. Nguyen Co. Calculation of interest expense August 17 - Duerr note: Principal Interest rate Number of days' interest to be recorded in 2016 Total interest expense - 2016 Requirement General Journal General Ledger Trial Balance Schedule of Payables Calculation of Interest 2017 payment Prepare the January 27, 2017 journal entry to record the payment of the Albany note at maturity. Griffin Company does NOT prepare reversing entries. Account title Debit Credit Date 1/27/2017