On November $1,2024,$ Patterson, Inc. borrowed $$2,000,000$ from City National Bank, signing a $6\%$ six$-$month note payable. The note is due on April $30,2025.$

Required

a$.$ Record the issuance of the note payable on November $1,2024.$

b$.$ Record the adjusting entry for interest expense on December $31,2024.$

c$.$ Record the payment of the note and interest at maturity on April $30,2025.$

Patterson, Inc. sold equipment in $2024$ for $$200,000.$ The equipment carries a one$-$year warranty against manufacturer's defects. Patterson estimates that the probable warranty costs associated with the equipment is $3\%$ of the sales figure.

During $2024,$ customers made warranty claims totaling $$3,000.$

Required

a$.$ Record the contingent liability for warranty costs in $2024.$

b$.$ Record the payment for the warranty work performed in $2024.$

Patterson Inc. pays its employees monthly. Payroll information is listed below for January. Assume that none of the employees exceeds the federal unemployment tax maximum salary of $$7,000$ in January.

$\backslash$table$[[$Salaries expense,$$600,000$