The following selected transactions occurred in the year ended December 31, 2024: Jan. 12 inventory system. Purchased merchandise on account from McCoy Company for $39,600, terms n/30. Sheridan uses a perpetual 31 Issued a $39,600, three-month, 8% note to McCoy Company in payment of its account. Interest is payable monthly. Feb. 29 Paid interest on the McCoy note (see January 31 transaction). Mar. 31 Paid the Tanner note, plus interest. 31 Paid interest on the McCoy note (see January 31 transaction). Apr. 30 Paid the McCoy note, plus one month's interest (see January 31 transaction). Aug. 1 Purchased equipment from Drouin Equipment by paying $18,000 cash and signing a $37,200, 10-month, 6% note. Interest is payable at maturity. Sept. 30 Borrowed $170,000 cash from the First Interprovincial Bank by signing a 10-year, 5% note payable. Interest is payable quarterly on December 31, March 31, June 30, and September 30. Of the principal, $17,000 must be paid each September 30. Dec. 31 Paid interest on the First Interprovincial Bank note (see September 30 transaction)