Account for notes payable $({|}_{{?}_{?}}||$ LO$9-2)$

See JP$9-1$ for journal entries.

P$9-2$ Precision Castparts, a manufacturer of processed engine parts in the automotive and airline industries, borrows $$41$ million cash

on October $1,2026,$ to provide working capital for anticipated expansion. Precision signs a $1-$year, $9\%$ promissory note to Midwest Bank

under a prearranged short$-$term line of credit. Interest on the note is payable at maturity. Precision Castparts has a December $31$ year$-$en

Required:

How will the issuance of the note payable affect the financial statements of Precision Castparts on October $1,2026?$

How will the accrued interest on the note payable affect the financial statements of Precision Castparts at the end of the fiscal year

$($December $31,2026)?$

How will the repayment of the note and interest on September $30,2027,$ affect the financial statements of Precision Castparts?