Metro Company sells lawn and garden products to wholesalers. The companys fiscal year-end is December 31. Required: Prepare the necessary journal entries for Metro for the following transactions occurred in 2020. For transactions involving the sale of merchandise, ignore the entry for the cost of goods sold (round all calculations to the nearest dollar).

2/28 Sold merchandise to Lennox, Inc., for $10,000 and accepted a 10%, 7-month note. 10% is an appropriate rate for this type of note.

3/31 Sold merchandise to Maddox Co. and accepted a noninterest-bearing note with a discount rate of 10%. The $8,000 payment is due on March 31, 2021. 4/3 Sold merchandise to Carr Co. for $7,000 with terms 2/10, n/30. Metro uses the gross method to account for cash discounts. 4/11 Collected the entire amount due from Carr Co. 6/30 Discounted the Lennox, Inc., note at the bank. The banks discount rate is 12%. The note was discounted without recourse. 12/31 An adjusting entry is recorded for the Maddox note