Problem-

Prepare journal entries for the following transactions involving notes payable for Homer Company, whose fiscal year ends June 30. Omit explanations.

June 20 Paid a trade account payable with a 90-day, 9 percent $60,000 note. Interest is in addition to the face value.

30 Made end-of-year adjusting entry to accrue interest expense for the note.

30 Made end-of-year closing entry pertaining to interest expense.

18 Paid amount due on note, plus interest.

Additional information-

This problem belongs to Accounting and Prepare journal entries for the following transactions involving notes payable for Homer Company, whose fiscal year ends June 30.