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View Policies Current Attempt in Progress The following are selected 2020 transactions of Sandhill Corporation Purchased inventory from Encino Company on account for $37,600. Sandhill records purchases gross and uses a periodic inventory system Oct. Issued a $37,600, 12 month, 8% note to Encino in payment of account. Borrowed $37,600 from the Shore Bank by signing a 12-month zero-interest-bearing $41.680 note Prepare journal entries for the selected transactions above. (If no entry is required, select "No Entry for the account titles and enter for the amounts Credit account titles are automatically indented when amount is entered. Do not indent manually. Record entries in the order displayed in the problem statement.) Date Account Titles and Explanation Debit Credit September 1 Purchases 37600 Accounts Payable 37600 October 1 Accounts Payable 37600 Notes Payable 37600 October 1 Cash Discount on Notes Payable 41680 Notes Payable Prepare adjusting entries at December 31. (if no entry is required, select "No Entry for the account titles and enter for the amounts. Credit account titles are automatically indented when amount is entered. Do not indent manually. Round answers to decimal places, es: 5,125) Date Account Titles and Explanation Debit Credit December 31 Interest Expense 752 Interest Payable (To record interest on the note) December 31 Interest Expense Discount on Notes Payable (To record discount on the note) e Textbook and Media List of Accounts Compute the total net liability to be reported on the December 31 balance sheet for (1) The interest-bearing note (2) The zero-interest-bearing notes e Textbook and Media

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