Vandiver Company had the following select transactions. 

Apr. 1, 2022 Accepted Goodwin Company’s 12-month, 6% note in settlement of a $30,000 account receivable.

 July 1, 2022 Loaned $25,000 cash to Thomas Slocombe on a 9-month, 10% note. 

Dec. 31, 2022 Accrued interest on all notes receivable. 

Apr. 1, 2023 Received principal plus interest on the Goodwin note. 

Apr. 1, 2023 Thomas Slocombe dishonored its note; Vandiver expects it will eventually collect. 

Instructions 

Prepare journal entries to record the transactions. Vandiver prepares adjusting entries once a year on December 31.