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Question: The following were the transactions of Rest Haven Ltd during the financial year ending 30 June 2020.
April 1 Rest Haven Ltd discounted its own 60-day bill of exchange issued out to Commonwealth Bank of Australia. The face value of the bill was $300,000 and the bill was discounted at 10%.
May 31 Rest Haven Ltd honoured its bill drawn on Commercial Bank of Australia.
Required: Record the journal entries in the records of Rest Haven Ltd to reflect the above events.
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