Sheridan Company adjusts its accounting records monthly in order to prepare monthly financial statements. On September 30 2021, selected general ledger account balances are Notes receivable $40.800 Interest receivable 248 Notes Receivable include the following Issue Date Maker Principal Interest Term Aug 1.2021 K. Leroy Co $13.200 8% 3 months Aug 31,2021 Fournier Co. 9.600 9% 2 months Sept. 30.2021 Nesbitt Co 18.000 79 18 months Interestis payable on the first day of each month for notes with terms of one year or longer interest is payable at maturity for notes with terms of less than one year in October, the following transactions were completed: Oct 31 Received notice that the Fournier Co note had been dishonoured (Assume that Fournier is expected to pay in the future) Collected the amount owing trom K. Leroy Co. 31 Record the transactions on October 31 and the October 31 adjusting entry to accrue interest revenue Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry required, select "No Entry for the account titles and enter for the amounts. Round answers to decimal places, es 5.275) Date Account Titles and Explanation Debit Credit Oct 31 (To record de rednote where Collection spected Oct Q i @ Oct 31 > To record collection of note and interest Oct 31 (To accrue interest earned e Textbook and Media List of Accounts Create general ledger accounts for Notes Receivable and interest Receivable and enter the opening balances on October 1. Post the entries from October 31 to Notes Receivable and interest Receivable and update the balances (Post entries in the order of Journal entry presented in the previous part) Date Explanation Ref. Notes Receivable Debit Credit Balance Oct 1 Balance 31 31 Date Explanation Ref. Interest Receivable Debit Credit Balance Oct . Balance 31 31 31 Austing d 31 Adjusting entry eTextbook and Media List of Accounts Show the balance sheet presentation of the interest and notes receivable accounts at October 31. (ust Current Assets in order of liquidity) SHERIDAN COMPANY Balance Sheet (partial) Assets $ e Textbook and Media List of Accounts How would the journal entry on October 31 be different toornier were not aspected to pay in the future? Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry for the account titles and enter for the amounts. Round answers to decimal places, es. 5275) Date Account Titles and Explanation Debit Oct Credit