The following selected transactions relate to liabilities of Pacific Coast Adventures. Pacific Coast$$s fiscal year ends on December $31.$ January $13$ Negotiate a revolving credit agreement with First Bank that can be renewed annually upon bank approval. The amount available under the line of credit is $$10$ million at the bank's prime rate. February $1$ Arrange a three$-$month bank loan of $$4\mathrm{.}7$ million with First Bank under the line of credit agreement. Interest at the prime rate of $8\%$ is payable at maturity. May $1$ Pay the $8\%$ note at maturity.The following selected transactions relate to liabilities of Pacific Coast Adventures. Pacific Coast's fiscal year ends onThe following selected transactions relate to liabilities of Pacific Coast Adventures. Pacific Coast's fiscal year ends on

December $31.$

January $13$ Negotiate a revolving credit agreement with First Bank that can be renewed annually upon bank

approval. The amount available under the line of credit is $$10$ million at the bank's prime

rate.

February $1$ Arrange a three$-$month bank loan of $$3\mathrm{.}6$ million with First Bank under the line of credit

agreement. Interest at the prime rate of $6\%$ is payable at maturity.

May $1$ Pay the $6\%$ note at maturity.

Required:

Record the appropriate entries, if any, on January $13,$ February $1,$ and May $1.($If no entry is required for a particular

transaction$/$event$,$ select $"$No Journal Entry Required" in the first account field. Enter your answers in dollars, not in

millions $($i$.$e$.5$ million should be entered as $5,000,000).)$

Journal entry worksheet

Pay the $6\%$ note at maturity.

Note: Enter debits before credits.

December $31.$

January $13$ Negotiate a revolving credit agreement with First Bank that can be renewed annually upon bank

approval. The amount available under the line of credit is $$10$ million at the bank's prime

rate.

February $1$ Arrange a three$-$month bank loan of $$3\mathrm{.}6$ million with First Bank under the line of credit

agreement. Interest at the prime rate of $6\%$ is payable at maturity.

May $1$ Pay the $6\%$ note at maturity.

Required:

Record the appropriate entries, if any, on January $13,$ February $1,$ and May $1.($If no entry is required for a particular

transaction$/$event$,$ select $"$No Journal Entry Required" in the first account field. Enter your answers in dollars, not in

millions $($i$.$e$.5$ million should be entered as $5,000,000).)$

Journal entry worksheet

Arrange a three$-$month bank loan of $$3\mathrm{.}6$ million with First Bank under the line

of credit agreement. Interest at the prime rate of $6\%$ is payable at maturity.

Note: Enter debits before credits.