Answer:
Cash 60,300 debit
discount on NP 1,620
Note payable 61,920 credit
interest expense 1,080 debit
discount on Note Payable 1,080 credit
interest expense 540 debit
note payable 61,920 credit
discount on Note Payable 540 credit
cash 61,920 credit
Explanation:
<em><u>when the note is signed:</u></em>
note nominal 61, 920
actual cash received (60,300)
discount on NP 1,620
<em><u>year-end adjustment:</u></em>
amortization from Nov 1st to Dec 31th: 2 months
1,620 x 2 months / 3 months = 1,080
<em><u>at maturity:</u></em>
for the last month: 1,620 x 1 month / 3 month = 540