On April $1,2024,$ Shoemaker Corporation realizes that one of its main suppliers is having difficulty meeting delivery schedules, which is hurting Shoemaker$$s business. The supplier explains that it has a temporary lack of funds that is slowing its production cycle. Shoemaker agrees to lend $$600,000$ to its supplier using a $12-$month, $11\%$ note.

Required:

Record the following transactions for Shoemaker Corporation:

The loan of $$600,000$ and acceptance of the note receivable on April $1,2024.$

The adjusting entry for accrued interest on December $31,2024.$

Cash collection of the note and interest on April $1,2025.$