On May $16,20$X$1,$ Safeway Company received a $90-$day, $10$ percent, $$7,600$ interest$-$bearing note from Black Company in settlement of Black's past$-$due account. On June $30,$ Safeway discounted this note at Fargo Bank and Trust. The bank charged a discount rate of $15$ percent. On August $14,$ Safeway received a notice that Black had paid the note and the interest on the due date.

Required:

Prepare the entries in general journal form to record these transactions.

Analyze:

If the company prepared a balance sheet on July $31,20$X$1,$ how should Notes Receivable$$Discounted be presented on the statement?On Msy $16,20$X$1,$ Ssfewsy Company received a $90-$day, $10$ percent, $$7,600$ interest$-$bearing note from Black Company in settlement of Black's psst$-$due account. On June $30.$ Safeway discounted this note st Fargo Bank and Trust. The bank charged a discount rate of $15$ percent. On August $14,$ Safeway received $$ notice that. Black had psid the note and the interest on the due date.

Required:

Prepare the entries in general journal form to record these transactions.

Analyze:

If the company prepared a balance sheet on July $31,20$X$1,$ how should Notes Recelvable$-$Discounted be presented on the statement?

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Analyze

Prepare the entries in general journal form to record these transactions. $($Use $360$ days a year. Round your intermediate calculations and final answers to $2$ decimal places.$)$

$\backslash$table$[[\backslash$table$[[$No$],[1]],\backslash$table$[[$Date$],[$May $16,20$X$1]],$General Journal,$\backslash$table$[[$Deblt$],[7,600\mathrm{.}00]],$Credit$],[$Nobes receivabale,$\backslash$theta $],[,,$Accounts receivable$/$Black Company,ox$,,7,600\mathrm{.}00],[2,$June $30,20\backslash$times $1,$Cash,$\backslash$theta $,7,600\mathrm{.}00$x$,],[,$Notes receivable$-$Discournted,:$\text{'},285\mathrm{.}00\backslash$times $,],[,$Interest incame,$\backslash$theta $,285\mathrm{.}00\},],[,$Nobes receivabale,x$,,],[3,$Aug. $14,20\backslash$times $1,$Nobes recesivable$-$Discournted,$\backslash$theta $,,]]$