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Prepare journal entries to record the following transactions entered into by Elway Company: 2008 June 1 Received a $20,000, 12%, 1-year note from Sue Gold

Prepare journal entries to record the following transactions entered into by Elway Company: 2008 June 1 Received a $20,000, 12%, 1-year note from Sue Gold as full payment on her account. Nov. 1 Sold merchandise on account to Peyson, Inc. for $10,000, terms 2/10, n/30. Nov. 5 Peyson, Inc. returned merchandise worth $500. Nov. 9 Received payment in full from Peyson, Inc. Dec. 31 Accrued interest on Gold's note. 2009 June 1 Sue Gold honored her promissory note by sending the face amount plus interest. No interest has been accrued in 2009.

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