Use the following to answer questions 11 13

MM Environmental provides cost effective solutions for managing regulatory requirements and environmental needs specific to the Airline industry. Assume that on July 1st, the company borrows $1,000,000 by issuing a one-year note, simple interest. Interest is payable at maturity.

11. $___________Determine the amount of interest expense that should be recorded in a year-end adjusting entry assuming a 5.25% interest rate and a fiscal year-end September 30.

12. $___________Determine the amount of interest expense that should be recorded in a year-end adjusting entry assuming a 4.5% interest rate and a fiscal year-end December 31.

13. $___________Determine the amount of interest expense that should be recorded in a year-end adjusting entry assuming a 3.5% interest rate and a fiscal year-end March 31.