Jimmy borrowed $30,000 on a 7-month, 5% note from Ohio State Bank to open their business, JJs Meatball House. The money was borrowed on May 1, and the note matures December 1. Use the Accounting Equation format to answer this question.

1Prepare the accounting entry to record the receipt of cash on May 1. 2Prepare the entry to accrue the interest on May 30. 3Assuming adjusting entries are made at the end of each month, determine the balance in the interest payable account at November 30 (you can use one row of the accounting equation to record the entry for each month's interest until you reach November 30). Enter this number in a cell, using an Excel formula, and highlight/label it. 4Prepare the entry required on December 1, when the loan is paid back.