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On June 30, 2018, the Esquire Company sold some merchandise to a customer for $34,000. In payment, Esquire agreed to accept a 6% note requiring

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On June 30, 2018, the Esquire Company sold some merchandise to a customer for $34,000. In payment, Esquire agreed to accept a 6% note requiring the payment of interest and principal on March 31, 2019. The 6% rate is appropriate in this situation. Required: 1. Prepare journal entries to record the sale of merchandise (omit any entry that might be required for the cost of the goods sold), the December 31, 2018 interest accrual, and the March 31, 2019 collection 2. If the December 31 adjusting entry for the interest accrual is not prepared, by how much will income before income taxes be over-or understated in 2018 and 2019? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Prepare journal entries to record the sale of merchandise comit any entry that might be required for the cost of the goods sold), the December 31, 2018 interest accrual, and the March 31, 2019 collection. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list of Merchandise (omit any entry that might be required for the cost of the goods sold), the December 31, 2018 interest accrual, and the March 31, 2019 collection. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet 2 1 3 > Record the sale of merchandise. Note: Enter debits before credits General Journal Debit Date June 30, 2018 Credit No journal entry required Accounts payable Accounts receivable Advertising expense Record entry View general Journal View transaction list Journal entry worksheet Record the cash collection. Note: Enter debits before credits. General Journal Date March 31, 2019 Debit Credit Record entry Clear entry View general journal On June 30, 2018, the Esquire Company sold some merchandise to a customer for $34,000. In payment, Esquire agreed to accept a 6% note requiring the payment of interest and principal on March 31, 2019. The 6% rate is appropriate in this situation. Required: 1. Prepare journal entries to record the sale of merchandise (omit any entry that might be required for the cost of the goods sold), the December 31, 2018 interest accrual, and the March 31, 2019 collection 2. If the December 31 adjusting entry for the interest accrual is not prepared, by how much will income before income taxes be over-or understated in 2018 and 2019? Complete this question by entering your answers in the tabs below. Required 1 Required 2 If the December 31 adjusting entry for the interest accrual is not prepared, by how much will income before income taxes be over-or understated in 2018 and 2019? by 2018 income before income taxes would be 2019 income before income taxes would be by

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