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Year 2 January 27 paid the anount due on the note to Fargo Bank at the maturity date. Answer is not complete. Prepare the joumal entries related to notes and accounts payable. Hint: Use the "Calculation of interest" tab to ensure the accuracy of your entries. Answer is not complete. Prepare the January 27, Year 2 journal entry to record the payment of the Fargo note at maturity. Collins Company does NOT prepare reversing entries. GL901 (Algo) - Bosed on Problem 09-1A LO P1 The January 1. Year 1 trial balance for the Collins Compary is found on the triat balance tab. The beginning balances are assumed. Collins Compony entered into the following transactions involving short-term liabilities. Note: Use 360 days a year. Year 1 Apri1 20 Purchased $52,250 of cerchandise on credit fron tewis, terns in/30. May 19 Replaced the Apral 20 account payable to Leds with a 50day,225,539,000 note payable along with paythg $13,250 in cash. July \& Berrowed $117, eos casb froe NYR sank by signing a 120day,95,$117,000 note payable. hugust 17 paid the anount due on the note to lewis at the maturity date. novenber $. Paid the anount due on the note to mi ilank at the raturity date. Decenter. 31 licorded an adjusting entry for acerved ieterest on the note to Fargo bank, Year 2 January 27 paid the anount doe on the note to fargo Bank at the maturity date. General Joumal tab - Jeurnalue the transactions related to the notes and accounts payable of Collins Company. The General Ledger, Trial Balance and Schedule of Payables will be updated based on your entries. General Ledger tab = One of the advantages of general ledger software is that posting is done automatically. To see the detail of al transactions that affect a specific account, or the balance in an acceunt at a specific point in time, click on the Ceneral Ledger tab. Trial Dalance tab s. General ledger software also automates the Breparaten of trial balances. A trial balance lists each account from the General Ledpec, along with is balance, either a debit or a credit. Fotal debis should always equal total credits. Calculation of interest tab - Use the interest formula (RN) to venfy the amount of interest recorded in your entries. Verify that total interest expense agrees with the trial balance. Vear 2 payment tab - Prepare the January 27 , Year- 2 entry to record the repayment of the note at maturity. January 27 Paid the anount due on the note to fargo bank at the maturity date. Enter the principal amount, interest rate, and number of days of interest to be recorded for each note. Verify that interest expense agrees with your journal entries and the trial balance. (*) Answer is not complete. Collins Company Trial Balance January 01,2021 General Ledger Schedule of Payables Answer is not complete. Hore are the balances in Accounts and Notes payable based on your journol entries

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