On October 1, Eder Fabrication borrowed $72 million and issued a nine-month, 12% promissory note. Interest was payable at maturity.

Prepare the journal entry for the issuance of the note and the appropriate adjusting entry for the note at December 31, the end of the reporting period. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Enter your answers in whole dollars.)

CHOOSE FROM THE LIST BELOW

No journal entry required

Accounts receivable

Allowance for uncollectible accounts

Bad debt expense

Bonds payable

Cash

Cost of goods sold

Deferred rent revenue

Deferred sales revenue

Discount on notes payable

Estimated warranty liability

Interest expense

Interest payable

Interest receivable

Interest revenue

Notes payable

Notes receivable

Rent revenue

Salaries and wages expense

Salaries and wages payable

Sales revenue

Warranty expense

1. Record the issuance of the note.

2. Record the appropriate adjusting entry for the note at December 31.