Question: "Gary and Jon borrowed $30,000 on a 7-month, 7% note from Gem State Bank to open their business, Cullumber's Coffee House. The money was borrowed on June 1, 2025, and the note matures January 1, 2026."

Part (a) Debit is 30,000 then Credit is 30,000.

Part (b) Date is June 30th, 2025.

Part (c) "determine the balance in the Interest Payable account at December 31, 2025." Balance in interest payable account $_____

Your answer is correct. Prepare the entry to record the receipt of the funds from the loan. (List all debit entries before credit entries. Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.) Attempts: unlimited (b) Prepare the entry to accrue the interest on June 30. (List all debit entries before credit entries. Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter Ofor the amounts.) amounts.) (c) Assuming adjusting entries are made at the end of each month, determine the balance in the Interest Payable account at December 31, 2025. Balance in interest payable account