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Good Food Company lent $300,000 cash on September 30 and received a one-year 5%, interest-bearing note receivable. The required adjusting entry on December 31 would

Good Food Company lent $300,000 cash on September 30 and received a one-year 5%, interest-bearing note receivable. The required adjusting entry on December 31 would be

Interest Receivable +$2,000 Interest Revenue +$2,000

Interest Receivable +$3,750 Interest Revenue +$3,750

Cash +$111,250 Notes Receivable -$100,000 Interest Receivable -$11,250

Interest Revenue +$2,500 Interest Receivable +$2,500

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