Year
December Accepted a $day, note in granting Edward Lee a time extension on his pastdue account receivable.
December Made an adjusting entry to record the accrued interest on the Lee note.
Year
February Received Lees payment of principal and interest on the note dated December
March Accepted a $day note in granting a time extension on the pastdue account receivable from Lauer Company
March Accepted a $day, note in granting Jose Garcia a time extension on her pastdue account receivable.
April Garcia dishonored her note.
Lauer Company dishonored its note.
August Accepted a $day, note in granting a time extension on the pastdue account receivable of Stone Company
September Accepted a $day, note in granting Wang Lee a time extension on his pastdue account receivable.
November Received payment of principal plus interest from Lee for the September note.
November Received payment of principal plus interest from Stone for the August note.
December Wrote off the Garcia account against the Allowance for Doubtful Accounts.
