Cape Cod Sales Company completed the following note payable transactions:2018Apr

Cape Cod Sales Company completed the following note payable transactions:

2018
Apr 1 ................. Purchased delivery truck costing $56,000 by issuing a one-year, 7% note payable.
Dec 31 .............. Accrued interest on the note payable.
2019
Apr 1 ................. Paid the note payable at maturity.


Requirements

1. How much interest expense must be accrued at December 31, 2018? (Round your answer to the nearest whole dollar.)

2. Determine the amount of Cape Cod Sales’ final payment on April 1, 2019.

3. How much interest expense will Cape Cod Sales report for 2018 and for 2019? (If needed, round your answer to the nearest whole dollar.)

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