Instructions: Prepare journal entries to record the transactions. Vandiver prepares adjusting entries once a year on Dec 31.

Vandiver Company had the following select transactions.

Apr 1, 2017- Accepted Goodwin Company's 12-month, 12% note in settlement of a $30,000 account receivable.

Jul 1,2017- Loaned $25,000 cash to Thomas Slocombe on a 9-month, 10% note.

Dec 31, 2017- Accrued intrest on all notes receivable.

Apr 1, 2018- Received principal plus interest on the Goodwin note.

apr. 1 2018- Thomas Slocombe dishonored its not; Vandiver expects it will eventually collect