Melissa Hoadley and Kelly Quayle borrowed $14,400 on a 7-month, 9% bank loan from BMO Bank of Montreal to open their business, MKs Coffee House Inc. The money was borrowed on June 1, 2018, and the loan matures January 1, 2019. Interest is due at maturity.

Prepare the entry to record the receipt of the funds from the bank loan. (Credit account titles are automatically indented when the amount is entered. Do not indent manually.) Date Account Titles and Explanation Debit Credit Jun. 1 Prepare the entry to accrue the interest on June 30. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. Round answers to the nearest whole dollar, e.g. 5,275.) Date Account Titles and Explanation Debit Credit Jun. 30 Assuming adjusting entries are made at the end of each month, determine the balance in the Interest Payable account at December 31, 2018. (Round answer to the nearest whole dollar, e.g. 5,275.) Balance in Interest Payable account Prepare the entry required on January 1, 2019, when the bank loan is paid back. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. Round answers to the nearest whole dollar, e.g. 5,275.) Date Account Titles and Explanation Debit Credit Jan. 1, 2019