The January 1, 2016 trial balance for the Tyrell Company is found on the trial balance tab. The beginning balances are assumed Tyrell Co. entered into the following transactions involving short-term liabilities in 2016 and 2017. (Use 360 days a year.) 2016 Apr. 20 Purchased $40,250 of merchandise on credit from Locust, terms are n/30. Tyrell uses the perpetual inventory system. annual interest along with paying $5,250 in cash. face value of $80,000. May 19 Replaced the April 20 account payable to Locust with a 90-day, $35,000 note bearing 10% July 8 Borrowed $80,000 cash from NBR Bank by signing a 120-day, 9% interest-bearing note with a Aug. 17 Paid the amount due on the note to Locust at the maturity date. Nov. 5 Paid the amount due on the note to NBR Bank at the maturity date Nov. 28 Borrowed $42,000 cash from Fargo Bank by signing a 60-day, 8% interest-bearing note with a face value of $42,000. Dec. 31 Recorded an adjusting entry for accrued interest on the note to Fargo Bank 2017 Jan. 27 Paid the amount due on the note to Fargo Bank at the maturity date General Journal General Ledger Schedule of Payables Calculation of Interest Requirement Trial Balance 2017 payment Prepare the journal entries related to notes and accounts payable. Hint: Use the "Calculation of Interest" tab to ensure the accuracy of your entries View transaction list View journal entry worksheet Date Account Title Debit Credit Apr 20 Merchandise inventory 40,250 Accounts payable Locust 40,250 May 19 Cash 5,250 Notes payable - Locust 35,000 Requirement General Ledger> Requirement General General Journal tab - Prepare the 2016 journal entries related to the notes and accounts payable of Tyrell Co. Calculation of interest tab - Use the interest formula (Px R x T) to verify the amount of interest recorded in your entries. GeneralTrial Balance Payables Ledger Schedule of Calculation of 2017 payment Journal Interest Verify that total interest expense agrees with the trial balance. 2017 payment tab - Prepare the January 27, 2017 entry to record the repayment of the note at maturity. Requirement General Journal> Requirement General Journal General Ledger hedule of Calculation of 2017 payment Trial Balance Payables Interest General Ledger Account Cash Merchandise inventory Credit Date Jan 01 May 19 Date Dec 31 1Apr 20 No. Debit Balance Debit Credit Balance 60,000 5,000 45,250 2 5,250 54,750 40.250 Accounts payable - Locust Notes payable -Locust Debit Credit Date Dec 31 1 Apr 20 Credit Balance Date Dec 31 2 May 19 O. Debit Balance 40,250 40,250 35,000 35,000 Tyrell, Capital O. Date Debit Credit Balance Jan 01 65,000 K General Journal Trial Balance> of Payables General Journal General Ledger Trial Balance Schedule of Calculation of 2017 payment Requirement Interest No input required Tyrell Company Trial Balance January 01, 2017 Account Title Debit Credit Cash Merchandise inventory Accounts payable - Locust Notes payable - Locust Tyrell, Capital 54,750 45,250 40,250 35,000 65,000 140,250 Total 100,000$ General Ledger Schedule of Payables > General Journal General Ledger ule of Calculation of 2017 payment Payables Requirement Trial Balance Schedule Interest Here are the balances in Accounts and Notes payable based on your journal entries Tyrell Co Schedule of Accounts Payable Accounts payable - Locust 40,250 Total accounts payable 40,250 Tyrell Co Schedule of Notes Payable Notes payable - Locust 35,000 Total notes payable 35,000 Trial Balance Calculation of Interest > Genera Ledger Trial Balance of Schedule ofCalculation of 2017 payment Interest Requirement Journal Payables Enter the principal amount, interest rate, and number of days of interest to be recorded for each note. Verify that interest expense agrees with your journal entries and the trial balance agrees with your journal entries and the tral alance.. Tyrell Co Calculation of interest expense August 17 - Locust note: Principal Interest rate Number o days' interest to be recorded in 2016 Total interest expense 2016 Schedule of Payables 2017 payment Schedule of Calculation of 2017 payment General Ledger Trial Balance of Requirement General Payables Prepare the January 27, 2017 journal entry to record the payment of the Fargo note at maturity. Tyrell Company does NOT prepare reversing entries Date Account title Debit Credit /272017