E9-8 (Static) Reporting Notes Payable and Calculating Interest Expense LO 9-3 North Face is one of the world's most popular outdoor apparel companies. Assume that North Face borrows $2 million from U.S. Bank and signs a note promising to pay back the $2 million in nine months, at which time North Face also will pay any accrued interest. The interest rate on the note is 8%. Required: 1. Prepare the journal entry North Face 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 nine-month note with an interest rate of 8%. Note: Enter debits before credits. Transaction General Journal Credit Debit 2,000,000 01 Record entry Clear entry View general journal 2. Prepare the journal entry that North Face will record when it pays off the note and any accrued interest after nine 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).) View transaction list Journal entry worksheet