GL901- Based on Problem 9-1A LO C2, P1 The January 1, Year 1 trial balance for the Brown Company is found on the trial balance tab. The beginning balances are assumed. Griffin Co. entered into the following transactions involving short-term liabilities. (Use 360 days a year.) Year 1 20 Purchased $40,750 of merchandise on credit from Martin, terms n/30 19 Replaced the April 20 account payable to Martin with a 90-day, 8%, $36,000 note payable along with paying $4,750 in cash 8 Borrowed $84,000 cash from CDR Bank by signing a 120-day, 12%, $84,000 note payable. 17 Paid the amount due on the note to Martin at the maturity date. 5 Paid the amount due on the note to CDR Bank at the maturity date. 28 Borrowed $45,000 cash from Chicago Bank by signing a 60-day, 12%, $45,000 note payable. 31 Recorded an adjusting entry for accrued interest on the note to Chicago Bank. Apr. May July Aug. Nov. Nov. Dec Year 2 27 Paid the amount due on the note to Chicago Bank at the maturity date. Jan General Schedule of Payables Calculation of General Year 2 Trial Balance Requirement Ledger Journal Interest payment General Journal tab Prepare the Year 1 journal entries related to the notes and accounts payable of Griffin Co. Calculation of interest tab - Use the interest formula (P x R x T) to verify the amount of interest recorded in your entries. Verify that total interest expense agrees with the trial balance. Year 2 payment tab - Prepare the January 27, Year 2 entry to record the repayment of the note at maturity. Schedule of General General Calculation of Year 2 Requirement Trial Balance Ledger Payables Interest Journal payment Prepare the journal entries related to notes and accounts payable. accuracy of your entries. Hint: Use the "Calculation of Interest" tab to ensure the View transaction list Journal entry worksheet 1 2 3 4 5 6 7 > Apr. 20. Purchased $40,750 of merchandise on credit from Martin, terms n/30. Griffin uses the perpetual inventory system. Note: Enter debits before credits Date Account Title Debit Credit Apr 20 General Journal General Schedule of Payables Calculation of Year 2 Requirement Trial Balance Ledger Interest 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 4 1 2 3 5 6 7 May 19. Replaced the April 20 account payable to Martin with a 90-day, $36,000 note bearing 8% annual interest along with paying $4,750 in cash Note: Enter debits before credits. Date Account Title Debit Credit May 19 Check my work General Journal General Ledger Schedule of Payables Calculation of Year 2 Requirement Trial Balance Interest payment Prepare the journal entries related to notes and accounts payable. accuracy of your entries. Hint: Use the "Calculation of Interest" tab to ensure the View transaction list Journal entry worksheet 1 2 3 4 5 6 7 Jul. 8. Borrowed $84,000 cash from CDR Bank by signing a 120-day, 12% interest-bearing note with a face value of $84,000 Note: Enter debits before credits. Account Title Date Debit Credit Jul 08 General Journal Schedule of Payables General Calculation of Year 2 Requirement Trial Balance Ledger Interest payment Prepare the journal entries related to notes and accounts payable. accuracy of your entries. Hint: Use the "Calculation of Interest" tab to ensure the View transaction list ped Journal entry worksheet ok 20 Purcnasea 40,/e OT mercnanaise on creait Trom martin, terms n/ 30 19 Replaced the April 8 Borrowed $84,000 cash from CDR Bank by signing a 120-day, 12%, $84,000 note payable. 17 Paid the amount due on the note to Martin at the maturity date 5 Paid the amount due on the note to CDR Bank at the maturity date. 28 Borrowed $45,000 cash from Chicago Bank by signing a 60-day, 12%, $45,000 note payable. 31 Recorded an adjusting entry for accrued interest on the note to Chicago Bank Apr account payable to Martin with a 90-day, 8%, $36,000 note payable along with paying $4,750 in cash May July Aug. Nov Nov. Dec Year 2 27 Paid the amount due on the note to Chicago Bank at the maturity date. Jan General Ledger Schedule of Payables Calculation of Year 2 General Requirement Trial Balance Journal Interest payment No input required. Year 2018 represents Year 1 from the problem statement. Brown Company Trial Balance December 31, 2018 Account Title Debit Credit Cash 59,000 Merchandise inventory 5,500 Brown, Capital 64,500 Total 64,500$ 64,500 Prey 1 of 1 Next Schedule of Calculation of Payables General General Year 2 Trial Balance Requirement Ledger Journal Interest payment Here are the balances in Accounts and Notes payable based on your journal entries: Griffin Co. Schedule of Accounts Payable Total accounts payable Griffin Co. Schedule of Notes Payable Total notes payable $ Calculation of Interest Trial Balance General General Schedule of Calculation of Year 2 Trial Balance Requirement Ledger Payables Interest Journal 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. Griffin Co. Calculation of interest expense August 17 - Martin note: Principal Interest rate Number of days' interest to be recorded in Year1 Interest rate Number of days' interest to be recorded in Year1 Total interest expense Year 1 19 Replaced the April 20 account payable to Martin with a 90-day, 8%, $36,000 note payable along with paying $4,750 in cash 8 Borrowed $84,000 cash from CDR Bank by signing a 120-day, 12%, $84,000 note payable. 17 Paid the amount due on the note to Martin at the maturity date. 5 Paid the amount due on the note to CDR Bank at the maturity date 28 Borrowed $45,000 cash from Chicago Bank by signing a 60-day, 12%, $45,000 note payable. 31 Recorded an adjusting entry for accrued interest on the note to Chicago Bank May July Aug. Nov. Nov. Dec Year 2 27 Paid the amount due on the note to Chicago Bank at the maturity date. Jan General Journal Year 2 payment Calculation of General Schedule of Requirement Trial Balance Ledger Payables Interest Prepare the January 27, Year 2 journal entry to record the payment of the Chicago note at maturity. Brown Company does NOT prepare reversing entries. Date Account title Debit Credit 1/27/Year 2 Year 2 payment KCalculation of Interest