I got the gross method already but I need help checking my current entries for net method and what I need to put for the adjusting entries. Also need help with part 2 on next level following. Thank you.

Gross Method

Net Method, not sure on this

On December 1, 2019, Lynch Incorporated sold $18,000 of merchandise with terms 2/10, n/EOM. On December 11, 2019, collections were made on sales originally billed for $12,000, and on December 31, 2019, additional collections on sales originally billed for $5,000 were received. Required: 1. Prepare the journal entries to record the sale, collections, and any required year-end adjustments assuming that Lynch records accounts receivable and sales at (a) the gross price and (b) the net price. 2. Next Level Assume that Lynch's customer does not have the available cash to pay Lynch within the discount period. How much interest should the customer be willing to pay for a loan to permit them to take advantage of the discount period (assume no additional costs to the loan)? 3. Next Level Explain why Lynch's granting of cash (sales) discounts may improve cash flow. How does grading work? PAGE 1 GENERAL JOURNAL Score: 88/88 DATE ACCOUNT TITLE POST. REF. CREDIT Dec 19 Accounts Receivable DEBIT 18,000.00 18,000.00 Sales Revenue Cash Dec 11 11,760.00 240.00 Sales Revenue 12,000.00 Accounts Receivable Cash Dec 31 5,000.00 Accounts Receivable 5,000.00 All transactions on this page must be entered (except for post ref(s)) before you will receive Check My Work feedback. PAGE 1 GENERAL JOURNAL Score: 72/113 DATE ACCOUNT TITLE POST. REF. DEBIT CREDIT Dec 1 Accounts Receivable 17,640.00 Sales Revenue 17,640.00 Jan. 11 Cash 11,760.00 Sales Revenue 240.00 Accounts Receivable 12,000.00 Dec 31 Cash 5,000.00 Accounts Receivable 5,000.00 Adjusting Entries Points: 14.02/22 2. Assume that Lynch's customer does not have the available cash to pay Lynch within the discount period. How much interest should the customer be willing to pay for a loan to permit them to take advantage of the discount period (assume no additional costs to the loan)? Additional Instruction The customer would have to pay Lynch days sooner to take advantage of the 2% discount. Assuming 365 days in a year, 2% interest for days is equivalent to an annual interest rate of % Therefore, with the assumption of no additional costs to the loan, any loan at a rate below this rate would be advantageous for Lynch's customer. Points: 1/4