Prepare journal entries for the following transactions involving notes payable for Homer Company, whose fiscal year ends June 30. Omit explanations.
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June
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20
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Paid a trade account payable with a 90-day, 9 percent $60,000 note. Interest is in addition to the face value.
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30
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Made end-of-year adjusting entry to accrue interest expense for the note.
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30
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Made end-of-year closing entry pertaining to interest expense.
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Sept.
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18
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Paid amount due on note, plus interest.
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