1. On January 1, 2017, Dennis Supply purchased equipment for $60,000 in cash, hoping it will remain in service for six years. Equipment is depreciated using the straight-line method with an estimated residual value of $2,000. On April 30, 2019, the equipment was sold for $48,000 in cash.

 Record depreciation expense for 2019 and equipment sales on April 30, 2019.

2. On October 1, 2018, Parker Company made a loan to one of its customers. The client signed a 9-month promissory note for $150,000 at 13%. 

Log the journal entry on October 1 for accrued interest, and the bond's maturity.