Reference no: EM133152422

Question - Sheridan Corporation sells rock-climbing products and also operates an indoor climbing facility for climbing enthusiasts. During the last part of 2022, Sheridan had the following transactions related to notes payable.

Sept. 1 Issued a $15,600 note to Pippen to purchase inventory. The 3-month note payable bears interest of 7% and is due December 1. (Sheridan uses a perpetual inventory system.)

Sept. 30 Recorded accrued interest for the Pippen note.

Oct. 1 Issued a $22,800, 10%, 4-month note to Prime Bank to finance the purchase of a new climbing wall for advanced climbers. The note is due February 1.

Oct. 31 Recorded accrued interest for the Pippen note and the Prime Bank note.

Nov. 1 Issued a $30,000 note and paid $9,300 cash to purchase a vehicle to transport clients to nearby climbing sites as part of a new series of climbing classes. This note bears interest of 8% and matures in 12 months.

Nov. 30 Recorded accrued interest for the Pippen note, the Prime Bank note, and the vehicle note.

Dec. 1 Paid principal and interest on the Pippen note.

Dec. 31 Recorded accrued interest for the Prime Bank note and the vehicle note.

Required - Make journal entries for the transactions noted above.