On February $1,$ Toft Corp. lent $$12,000$ to a customer. The note has a $6\%$ annual interest rate. The note and interest is due in $12$ months. Prepare the journal entries for a$)$ when the note is issued, b$)$ the adjusting entry at yearend on Deoember $31,$ and c$)$ when the note and interest are collected.

Use whole months, not days in your calculations.

Prepare the journal entries for:

a$)$ When the note is issued on February $1.$

b$)$ At yearend, December $31,$

c$)$ When the note is collected the next year on February $1.$