The following selected transactions relate to liabilities of United Insulation Corporation. Uniteds fiscal year ends on December 31.

2024

January 13Negotiated a revolving credit agreement with Parish Bank that can be renewed annually upon bank approval. The amount available under the line of credit is $25.0 million at the banks prime rate.February 1Arranged a three-month bank loan of $7.4 million with Parish Bank under the line of credit agreement. Interest at the prime rate of 12% was payable at maturity.May 1Paid the 12% note at maturity.December 1Supported by the credit line, issued $12.0 million of commercial paper on a nine-month note. Interest was discounted at issuance at a 11% discount rate.December 31Recorded any necessary adjusting entry(s).

2025

September 1Paid the commercial paper at maturity.

1

Record a revolving credit agreement negotiated with Parish Bank that can be renewed annually upon bank approval. The amount available under the line of credit is $25.0 million at the banks prime rate.

2

Record a three-month bank loan of $7.4 million with Parish Bank under the line of credit agreement. Interest at the prime rate of 12% was payable at maturity.

3

Record the payment of the 12% note at maturity.

4

Record the issuance of $12.0 million of commercial paper on a nine-month note, supported by the credit line. Interest was discounted at issuance at a 11% discount rate.

5

Record necessary adjusting entry to accrue interest on December 31.

6

Record interest on commercial paper in 2025.

7

Record the repayment of commercial paper at maturity.