Answer:
Date Account Title and Exp. Debit Credit
June 1 6% Note Receivable $9,000
2011 Accounts Receivable - Dan Gore $9,000
(To Record Note receivable received
as a full payment on account)
Nov 1 Accounts Receivable $12,000
2011 - Barlow Inc
Sales $12,000
(To Record the sales on account)
Nov 1 Sales Return and Allowances $1,000
2011 Accounts Receivable - Barlow Inc. $1,000
(To Record the sales return and allowances)
Nov 9 Cash $10,780
2011 Sales Discounts $220
($11,000 *2%)
Accounts Receivable - Barlow Inc. $11,000
(To Record the full payment of balance)
Dec 31 Interest Receivable $315
2011 Interest Revenue $315
($9,000 * 6% * 7 /12)
(To Record the Interest accrued on note for 7 months)
June 1 Cash $9,540
2012 Note Receivable $9,000
Interest Receivable $315
Interest Revenue $225
($9,000 * 6% * 5 /12)
(To Record the maturity of note receivable)
