Can you Help me please solving this question? Thank you 7. value 2.00 points E8-

Question

Can you Help me please solving this question? Thank you 7. value 2.00 points E8-10 Recording Note Receivable Transactions, Including Accrual Adjustment for Interest [LO 8 The following transactions took place for Smart Solutions Inc 2014 a. July 1 Loaned $62,000 to an employee of the company and received back a one-year, 10 percent b. Dec. 31 Accrued interest on the note note 2015 c. July 1 Received interest on the note. (No interest has been recorded since December 31) d. July 1 Received principal on the note

Explanation / Answer

Journal entries Date Accounts title and explanations Debit $ Credit $ 1-Jul Notes receivable Account Dr. 62,000       Cash account 62000.00 31-Dec Interest receivable Account Dr. 3,100       Interest revenue Account (62000*10% *6/12) 3100.00 1-Jul Cash account Dr. 6200       Interest revenue Account (62000*10% *6/12) 3100       Interest receivable Account 3100 1-Jul Cash Account Dr. 62000       Notes receivable Account 62000

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