Question 1 of 5 1.6712 View Policies Show Attempt History Current Attempt in Progress The following are selected 2020 transactions of Martinez Corporation. Sept. 1 Purchased inventory from Encino Company on account for $47,400. Martinez records purchases gross and uses a periodic inventory system. Oct. 1 Issued a $47,400, 12-month, 8% note to Encino in payment of account. Oct. 1 Borrowed $47,400 from the Shore Bank by signing a 12-month, zero-interest-bearing $52,040 note. (a) Your answer is correct. Prepare journal entries for the selected transactions above. (If no entry is required, select "No Entry" for the account titles and enter O for the amounts. Credit account titles are automatically indented when amount is entered. Do not indent manually. Record entries in the order displayed in the problem statement.) ate Account Titles and Explanation Debit Credit mber 1 Purchases 47,400 (a) Your answer is correct. Prepare journal entries for the selected transactions above. (If no entry is required, select "No Entry" for the account titles and enter O for the amounts. Credit account titles are automatically indented when amount is entered. Do not indent manually. Record entries in the order displayed in the problem statement.) ate Account Titles and Explanation Debit Credit mber 1 Purchases 47,400 Accounts Payable 47,400 er 1 Accounts Payable 47,400 Notes Payable 47,400 1 Cash 47,400 Discount on Notes Payable 4640 Notes Payable 52040 (b) Your answer is correct. Prepare adjusting entries at December 31. (If no entry is required, select "No Entry" for the account titles and enter for the amounts. Credit account titles are automatically indented when amount is entered. Do not indent manually. Round answers to 0 decimal places, eg. 5,125.) Date Account Titles and Explanation Debit Credit December 31 Interest Expense 948 Interest Payable 948 (To record interest on the note) December 31 Interest Expense 1160 Discount on Notes Payable 1160 (To record discount on the note) e Textbook and Media List of Accounts Attempts: 1 of 3 used (c) Your answer is partially correct. Compute the total net liability to be reported on the December 31 balance sheet for: (1) The interest-bearing note $ 1896 (2) The zero-interest-bearing note $ 48560 e Textbook and Media