Question - Professional Enterprises sells on account. When a customer account becomes 4 months old. Professional converts the account to a note receivable. During 2010, Professional complete these transactions:
March 29 Solid goods on account to Montclair, Inc $21,000
Aug 1 Received a $21,000, 60 day, 5% note from Montclair, Inc. in satisfaction of the past-due receivable.
Sept 30 Collected the Montclair inc. note at maturity.
Requirement: Record the transactions in Professional Enterprises' Journal.