Year 1 April 20 Purchased $43,250 of merchandise on credit from Allen, terms n/30. May 19 Replaced the April 20 account payable to Allen with a 90-day, 6%, $37,000 note payable along with paying $6,250 in cash. July 8 Borrowed $99,000 cash from AKR Bank by signing a 120-day, 9%, $99,000 note payable. August 17 Paid the amount due on the note to Allen at the maturity date. November 5 Paid the amount due on the note to AKR Bank at the maturity date. November 28 Borrowed $60,000 cash from Fargo Bank by signing a 60-day, 6%, $60,000 note payable. December 31 Recorded an adjusting entry for accrued interest on the note to Fargo Bank. Year 2 January 27 Paid the amount due on the note to Fargo Bank at the maturity date. Requirement Date 1/27/Year 2 #3 General Journal Prepare the January 27, Year 2 journal entry to record the payment of the Fargo note at maturity. Walker Company does NOT prepare reversing entries. Notes payable - Fargo Interest expense Interest payable Cash $ 4 E JL D 0 General Ledger R F 15 Trial Balance % Account title

Vear 1 rats: Year 2 Nor propace ivuruing entries