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On February 1, 2020, Success Company accepted a six month note receivable as an extension of time for a balance of $20,000 owing from Mountain

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On February 1, 2020, Success Company accepted a six month note receivable as an extension of time for a balance of $20,000 owing from Mountain Company. The note has an annual interest rate of 7%. Success Company has a June 30 year end. Required al Prepare the journal entry for Success Company when the note is signed Do not enter dolloigns or commas in the input boxer Date Account Title and Explanation Debit Credit Feb 1 Notes Receivable 20000 Accounts Receivable 20000 To convert accounts receivable to a note receive b) Prepare the journal entry for the year-end adjustment. Round your answers to 2 decimal places. Date Account Title and Explanation Debit Credit Jun 30 Interest Receivable Interest Revenue To accrue interest at year end c) Mountain Company honored the note. Prepare the journal entry upon payment. Round your answers to 2 decimal places, Enter credit entries in alphabetical order Date Account Title and Explanation Debit Credit Aug 1 Cash Interest Receivable Interest Revenue Notes Receivable 20000 To receive note at maturity

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