Studying Inc. issued a $270,000, three-year, zero-interest-bearing note payable to Sleeping Corp. for equipment on April 30, 2020. Studying Inc would normally pay interest at 6%. Studying Inc has a December 31 year-end and will repay the note with three equal yearly payments of $90,000 and follows IFRS.

Prepare the following journal entries for Sleeping Inc.

1. Record the note

2. December 31, 2020 interest accrual

3. April 30, 2021 payment

4. December 31, 2021 interest accrual

5. April 30, 2022 payment