Styles
1. On September 1, 2020, Cole Company borrowed $300,000 from National Bank
on a 5-month, 8% note. On December 31, 2020, Cole Company accrued interest
(assume adjusting entries are only made at the end of the year). On January 31,
2021, the note was repaid with all of the interest due.
Prepare the entries to record the issuance of the note, the accrual of interest, and
the re payment of the note. (4 points)
Date
Description
Debit
Credit