Supersonic Inc. buys and sells washers and dryers in the GTA. 

Product                              Selling Price (standalone)      Cost

 Washing machine             $1,302                                     $1,504 

Installation 155 - Maintenance 93 - 

• On May 1, 2021, Mohammad orders a washing machine for a total price of $1460, installation and a one-year maintenance plan. 

• On June 1st, Supersonic delivers the washing machine and invoices the customer for the washing machine. Terms are 30 days. 

• On June 2, the customer pays for the one-year maintenance plan. 

• On June 4, Supersonic installed the machine. 

• Since the customer has not paid the washing machine or plumbing bill on July 1, it converts the accounts to an annual interest-bearing note with an annual interest rate of 4%. 

Prepare required journal entries for 2021, including year-end correction entries