Notes Payable and Interest On July 1, 2017, Anna's Garden Shop borrowed $23,000 from the bank. Anna signed a ten-month, 8% promissory note for the entire amount. Anna's uses a calendar year-end. Required: 1. Identify and analyze the effect of the issuance of the promissory note. Activity Financing Cash Decrease, Notes Payable Increase Accounts Statement(s) How does this entry affect the accounting equation? If a financial statement item is not affected, select "No Entry" and leave the amount box blank. If the effect on a financial statement item is negative, i.e, a decrease, be sure to enter the answer with a minus sign. Balance Sheet Income Statement Stockholders' Assets Liabilities + Equity Revenues Expenses No Entry No Entry 2. Identify and analyze the effect of any adjustments needed at year-end. Activity Accounts Statement(s) Feedback Check My Work How does this entry affect the accounting equation? ? If a financial statement item is not affected, select "No Entry" and leave the amount box blank. If the effect on a financial statement item is negative, i.e, a decrease, be sure to enter the answer with a minus sign. Use months in calculation. Do not round intermediate calculations. If required, round your final answer to the nearest dollar. Balance Sheet Income Statement Stockholders' + + Equity Assets Liabilities Revenues Expenses 3. Identify and analyze the effect of the payment of principal and interest. Activity Accounts Statement(s) s Feedback Check My Work How does this entry affect the accounting equation? If a financial statement item is not affected, select "No Entry" and leave the amount box blank. If the effect on a financial statement item is negative, i.e, a decrease, be sure to enter the answer with a minus sign. Use months in calculation. Do not round intermediate calculations. If required, round your final answer to the nearest dollar. Balance Sheet Income Statement Stockholders' Equity Assets Liabilities Revenues Expenses