You and several classmates are studying for the next accounting examination. They ask you to answer the following questions: 1. $ 2. $ If cash is borrowed on a $60,000, 9-month, 10% note on August 1, how much interest expense would be incurred by December 31? The cash register total including sales taxes is $42,000, and the sales tax rate is 5%. What is the sales taxes payable? If $42,000 is collected in advance on November 1 for 6-month magazine subscriptions, what amount of subscription revenue should be recognized on December 31? 3. $ $