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Date Transaction Year $1$ $5$-Jan Purchased equipment for $\$120,000$, signing a $9$ month, $8$\% note payable. $26$-Jan Recorded the week’s sales of $\$85,000$, $75$\% on account and $25$\% cash. All sales are subject to a $7$.$25$\% sales tax. $7$-Feb Remitted last week’s sales tax to the appropriate government agency. $1$-May Borrowed $\$175,000$ on a $7$ year, $9$\% note payable calling for annual interest beginning next May $1$. $1$-Oct Issued $\$100,000$ $5$ year, $12$\%, semiannual bonds payable. The bonds were issued at $104$. $5$-Oct Paid off the January $5$ note payable. $30$-Nov Purchased inventory at a cost of $\$9,500$, signing a $3$ month, $8$\% note payable for that amount. $31$-Dec Accrued warranty expense is estimated at $3$\% of total sales of $\$1,200,000$ (assume the sales were already recorded). $31$-Dec Record accrued interest on all outstanding notes and bonds payable (make a separate journal entry for each. HINT: there are two notes and one bond for a total of $3$ entries). Year $2$ $28$-Feb Paid off the November $8$\% inventory note plus interest at maturity. $4$ journal entries notes payable, interest expense, interest payable, and cash $1$-Apr Paid the interest due on the semi-annual bonds. $4$ journal entries interest expense, interest payable, premium on bonds, and cash $1$-May Paid the interest for one year on the long term note payable. $3$ journal entries interest expense, interest payable, cash