On january 1, 2017, harter company had accounts receivable $143,000, notes receivable $37,200, and allowance for doubtful accounts $26,600. the note receivable is from willingham company. it is a 4-month, 9% note dated december 31, 2016. harter company prepares financial statements annually at december 31. during the year, the following selected transactions occurred.
jan. 5: sold $28,400 of merchandise to sheldon company, terms n/15.
20: accepted sheldon company’s $28,400, 3-month, 7% note for balance due.
feb. 18: sold $18,200 of merchandise to patwary company and accepted patwary’s $18,200, 6-month, 8% note for the amount due.
apr. 20: collected sheldon company note in full.
30: received payment in full from willingham company on the amount due.
may 25: accepted potter inc.’s $14,800, 3-month, 6% note in settlement of a past-due balance on account.
aug. 18: received payment in full from patwary company on note due.
25: the potter inc. note was dishonored. potter inc. is not bankrupt; future payment is anticipated.
sept. 1: sold $10,100 of merchandise to stanbrough company and accepted a $10,100, 6-month, 9% note for the amount due.
journalize the transactions. (round answers to 0 decimal places, e. g. 5,275. credit account titles are automatically indented when amount is entered. do not indent manually. record journal entries in the order presented in the problem.)