Collins Lighting Co. issues a 90-day note for $600,000 to Wolfman Supply Co. for merchandise inventory. Wolfman

Question:

Collins Lighting Co. issues a 90-day note for $600,000 to Wolfman Supply Co. for merchandise inventory. Wolfman discounts the note at 10%.
a. Journalize Collins’ entries to record:
1. The issuance of the note.
2. The payment of the note at maturity.
b. Journalize Wolfman’s entries to record:
1. The receipt of the note.
2. The receipt of the payment of the note at maturity.