On April 1, 2020,SarasotaInc. signed a $137,000, zero-interest-bearing, six-month promissory note. The note's present value is $130,476based on the bank's discount rate of10%. The company's year-end is September 30, 2020 and the note is repayable on October 1, 2020.

1-Prepare the journal entries on the books ofSarasotaInc. to record the issue of the note.(Credit account titles are automatically indented when the amount is entered.Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.)

2-Prepare the journal entries on the books ofSarasotaInc.to record the year-end interest accrual.(Round answer to 0 decimal places, e.g. 5,125. Credit account titles are automatically indented when the amount is entered.Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.)

3-Prepare the journal entries on the books ofSarasotaInc. to recordrepayment of the note on October 1, 2020.(Credit account titles are automatically indented when the amount is entered.Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.)