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CurrentAttemptinrrogress Cullumber Company borrowed $27,600 on November 1, 2020, by signing a $27,600, 9% , 3-month note. Pre
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Date Account Title Debit Credit
Nov 1 2020 Cash $27,600
Note Payable $27,600
(To record amount borrowed)
Dec 31, 2020 Interest Expense $414 [($27600 x 9%)/12 x 2]
Interest Payable $414
(To record accrual of interest expense)
Feb 1, 2021 Interest Expense $207 [($27600 x 9%)/12 x 1]
Interest Payable $414
Note Payable $27,600
Cash $28,221
(To record payment of note payable and interest)
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