Richard Jackson and Melissa Aaron own and operate the Midwest Office Supply store. The following transactions involving notes and interest were completed during the last three months of 2019:

October

3.Received a $8,886, 7 1/2%, 30-day note from Hansen Appliance in payment for

sale of merchandise.

7.Received a $12,000, 9%, 45-day note from Jefferson Book Company in payment

of an account receivable

9.Received a $12,775, 10%, 60-day note from Josh Martinez in payment for sale

of merchandise

11. Issued a 40-day, S12,400, 8% note to Lincoln Paper Products in payment of an account payable

14. Issued a 30-day, $12,000, 7 A% note to Akron Paper in payment of a purchase of account of merchandise

20. Discounted the October 9 note receivable at First Federal Bank at 14%.

November

2.Received principal and interest from Hansen Appliance in full payment of

October 3 note receivable.

13. Paid principal and interest to Akron Paper in full payment of October 14 note payable

20. Paid $6,000, plus interest to Lincoln Paper Products (see October 11); and Issued a new, 6400, 11%, 30-day note payable

21. Received $4,000, plus interest from Jefferson Book Company (see October ) and received a new, 8,000, 30-day, 10% note receivable.

24. Received a $11,000, 7 1/4%, 30-day note receivable from Michelle Davis in payment for for sale of merchandise

30. Discounted the November 24 note at First Federal Bank at 14%

December

6.Issued a $20,000, 8%, 90-day note to Apple Valley Supply in payment for a purchase of merchandise.

10.Received a $13,330, 8%, 90-day note from Ellis Furniture in payment for a sale

of merchandise.

20. Paid principal and interest to Lincoln Paper Products (see November 20) in full

payment of note payable.

21.Received principal and interest from Jefferson Book Company (see

November 21) in full payment of note receivable.

24.Michelle Davis dishonored the November 24 note. The bank bills Midwest

Office Supply for the maturity value of the note plus a $56 bank fee.

31.Michelle Davis' dishonored note is collected. She pays Midwest Office Supply

the maturity value of the note, the $56 bank fee, and interest at 11% on the

maturity value plus the bank fee

31. Prepared the necessary adjusting entry for notes receivable outstanding

31. Prepared the necessary adjusting entry for notes payable outstanding