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The following transactions took place for Smart Solutions Inc
2014
a. July 1 Loaned $72.000 to an employee of the company and received back a one-year, 8 percent note
b Dec 31 Accrued interest on the note.
2015
c. July 1 Received interest on the note. (No interest has been recorded since December 31 )
d. July 1 Received principal on the note.
Required:
Prepare the journal entries that Smart Solutions Inc. would record for the above transactions. (If no entry is required for a transaction event. select "No Journal Entry Required" in the first account field.)
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