Prepare journal entries for the following transactions involving notes payable for Saunders Company,whose fiscal year ends June 30. Omit explanations.
June 20 Paid a trade account payable with a 90-day, 10 percent $50,000 note. Interest is in addition to the face value.30 Made end-of-year adjusting entry to accrue interest expense for the note. 30 Made end-of-year closing entry pertaining to interest expense.Sept. 18 Paid amount due on note, plus interest.