Alvira Inc. often requires customers to sign notes for major credit purchases. Record the following transactions for Alvira:Feb 12 Accepted a $42,000, 4%, 2-month note from John Doe for a 19-foot motorboat built to his specifications. Interest is due at maturity. The company uses the periodic inventory method.Apr 14 Received notification from John Doe that he was unable to honour his note but that he expects to pay the amount owed next month.May 26 Received a cheque from John Doe for the total amount owed.Jun 1 Received notification by the bank that John Doe's cheque was being returned "NSF" and that Mr. Doe had declared personal bankruptcy.

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The Answer of Alvira Inc. often requires customers to sign notes for major credit purchases. Record the following transactions for Alvira:Feb 12 Accepted a $42,000, 4%, 2-month note from John Doe for a 19-foot motorboat built to his specifications. Interest is due at maturity. The company uses the periodic inventory method.Apr 14 Received notification from John Doe that he was unable to honour his note but that he expects to pay the amount owed next month.May 26 Received a cheque from John Doe for the total amount owed.Jun 1 Received notification by the bank that John Doe's cheque was being returned "NSF" and that Mr. Doe had declared personal bankruptcy.