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The company acquires a note payable on November 1 where the principal amount is $40,000 with an interest rate of 12%. This note payable is

  1. The company acquires a note payable on November 1 where the principal amount is $40,000 with an interest rate of 12%. This note payable is expected to be paid in May. What would be the adjustment entry at the end of the year?

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