E9-8 (Algo) Reporting Notes Payable and Calculating Interest Expense LO 9-3 South End is one of the world's most popular outdoor apparel companies. Assume that South End borrows $3.2 million from U.S. Bank and signs a note promising to pay back the $3.2 million in ten months, at which time South End also will pay any accrued interest. The interest rate on the note is 6%. Required: 1. Prepare the joumal entry South End will record when it signs the note and receives the cash. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Enter your answers in whole dollars not in millions (i.e., 1,000,000 not 1.0).) Journal entry worksheet Record the ten-month note with an interest rate of 6%. Note: Enter debits before credits. 2. Prepare the journal entry that South End will record when it pays off the note and any accrued interest after ten months. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Enter your answers in whole dollars not in millions (i.e., 1,000,000 not 1.0).) Journal entry worksheet Record the payment of the note along with the accrued interest Note: Enter debits before credits