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  3. chris acrobats lent $26,307 to donaldson, inc., ac

Chris Acrobats lent $26,307 to Donaldson, Inc., accepting Donaldson's 2-year, $33,000, zero-interest-bearing note. The implied...

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Accounting

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Chris Acrobats lent $26,307 to Donaldson, Inc., accepting Donaldson's 2-year, $33,000, zero-interest-bearing note. The implied interest rate is 12%. Prepare Chris's journal entries for the initial transaction, recognition of interest each year, and the collection of $33,000 at maturity. (Round answers to 0 decimal places, e.g. 5,275. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. Credi account titles are automatically indented when the amount is entered. Do not indent manually. List all debit entries before credit entries.)

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