GL0701 (Algo) - Based on Problem 7-5A LO C2, C3, P4 The following selected transactions are from Duerr Company. Year 1 December 16 Accepted a $12,000, 60-day, 10% note in granting Edward Lee a time extension on his past-due account receivable. December 31 Made an adjusting entry to record the accrued interest on the Lee note. Year 2 February 14 Received Lee's payment of principal and interest on the note dated December 16. March 2 Accepted a $11,000, 10%, 90-day note in granting a time extension on the past-due account receivable from Lauer Company March 17 Accepted a $17,400, 30-day, 8% note in granting Jose Garcia a time extension on her past-due account receivable. April 16 Garcia dishonored her note. 31 Lauer Company dishonored its note. August 7 Accepted a $14,000, 90-day, 8% note in granting a time extension on the past-due account receivable of Stone Company September 3 Accepted a $16,200, 60-day, 10% note in granting Wang Lee a time extension on his past-due account receivable. November 2 Received payment of principal plus interest from Lee for the September 3 note. November 5 Received payment of principal plus interest from Stone for the August 7 note. December 1 Wrote off the Garcia account against the Allowance for Doubtful Accounts.