Sheffield Company borrows $$66,000$ on July $1$ from the bank by signing a $$66,000,12\%,$ one$-$year note payable.

$($a$)$ Prepare the journal entry to record the proceeds of the note.

$($b$)$ Prepare the journal entry to record accrued interest at December $31,$ assuming adjusting entries are made only at the end of

the year.

$($Credit account titles are automatically indented when amount is entered. Do not indent manually. Record journal entries in the order presented

in the problem.$)$

Date

Account Titles and Explanation

Debit

Credit

Cash

Notes Payable

Interest Expense

Interest Payable