Tammy Wright and Bonny Smith borrowed $25,500 on a 7-month, 4% note from Gem State Bank to open their business, JCs Coffee House. The money was borrowed on June 1, 2017, and the note matures January 1, 2018.

(a)		Prepare a tabular summary to record the receipt of the funds from the loan.
(b)		Prepare a tabular summary to accrue the interest on June 30.
(d)		Prepare a tabular summary to record the repayment of the loan on January 1, 2018.

Retained Earnings

Cash

=

Notes Pay.

+

Interest Pay.

+

Common Stock

+

Revenue

-

Expense

-

Dividend

(a)

June 1, 2017

$

$

$

$

$

$

$

(b)

June 30, 2017

(d)	Jan. 1, 2018