Required information

[The following information applies to the questions displayed below.] Following are transactions of Danica Company.

Dec.		13		Accepted a $21,000, 45-day, 7% note in granting Miranda Lee a time extension on her past-due account receivable.
		31		Prepared an adjusting entry to record the accrued interest on the Lee note.

Complete the table to calculate the interest amounts at December 31^st and use the calculated value to prepare your journal entries.

• Interest Amounts
• General Journal

Complete the table to calculate the interest amounts at December 31^st.

		Interest
	Total Through	Recognized
	Maturity	December 31
Principal
Rate (%)
Time
Total interest