Response to the following problem:
A patient gave Peppy Hospital a 9 percent, 90-day promissory note on November 1, 20X1, in settlement of a $12,000 account with the hospital. The hospital closes its books annually on December 31.
Required:
(1) Prepare, in general journal form, all necessary entries with respect to this note for 20X1 and 20X2.
(2) Indicate how all matters relating to this note should be presented in the hospital's 20X1 financial statements.