On December 1, 2021, Liang Chemical provides services to a customer for $86,000. In payment for the services, the customer signs a three-year, 12% note. The face amount is due at the end of the third year, while annual interest is due each December 1. Required:

1. Record the acceptance of the note on December 1, 2021. 2. Record the interest collected on December 1 for 2022 and 2023, and the adjustment for interest revenue on December 31 for 2021, 2022, and 2023. 3. Record the cash collection on December 1, 2024. Prepare the journal entries for the above transactions. (If no entry is required for a particular transaction/event, select "No Journal Entry Required" in the first account field.)

1. Journal entry worksheet

• Record the acceptance of the note.

Note: Enter debits before credits.

Date	General Journal	Debit	Credit
December 01, 2021

2. Journal entry worksheet

• Record the adjusting entry for interest receivable as of December 31, 2021.

Note: Enter debits before credits.

Date	General Journal	Debit	Credit
December 31, 2021

3. Journal entry worksheet

• Record the receipt of annual interest as of December 01, 2022.

Note: Enter debits before credits.

Date	General Journal	Debit	Credit
December 01, 2022

4. Journal entry worksheet

• Record the adjusting entry for interest receivable as of December 31, 2022.

Note: Enter debits before credits.

Date	General Journal	Debit	Credit
December 31, 2022

5. Journal entry worksheet

• Record the receipt of annual interest as of December 01, 2023.

Note: Enter debits before credits.

Date	General Journal	Debit	Credit
December 01, 2023

6. Journal entry worksheet

• Record the adjusting entry for interest receivable as of December 31, 2023.

Note: Enter debits before credits.

Date	General Journal	Debit	Credit
December 31, 2023

7. Journal entry worksheet

• Record the cash collection.

Note: Enter debits before credits.

Date	General Journal	Debit	Credit
December 01, 2024