S. Phipps Company borrowed $25,000 cash on October 1, 2016 and signed a nine-month 8% interest bearing note payable with interest payable due at maturity. Record de adjusting journal entry for the amount of accrued interest on December 31,2016. Junt 3o 6. Refer to #7 above; record the payment of the note payable and interest at maturity on May31,2017. Bonham's Bakery sold its oven equipment on May 1,u uipment was 10 years old. Using the information below, record the uipment) on May 1, 2017. a. Original Cost- $6,500 b. Straight line Depreciation; estimated useful life 12 years c. Estimated residual (salvage value) $800