Prepare journal entries to record the following transactions entered into by Glaser Company:
2010
June 1 Received a $20,000, 12%, 1-year note from Ann Duff as full payment on her account.
Nov. 1 Sold merchandise on account to Malone, Inc. for $10,000, terms 2/10, n/30.
Nov. 5 Malone, Inc. returned merchandise worth $500.
Nov. 9 Received payment in full from Malone, Inc.
Dec. 31 Accrued interest on Duff's note.
2011
June 1 Ann Duff honored her promissory note by sending the face amount plus interest. No interest has been accrued in 2011.
Correct Answer:
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