On August $1,$ Canarie Ltd$.$ accepted a $$25,800$ note from Borges $Ltd.$ in settlement of an account receivable. The note bears interest of $6\%$ and both principal and interest are due in two months, on October $1.$ Interest on the note was accrued on August $31$ and on September $30.$ On October $1,$ Borges paid the note, including the accrued interest. Prepare the journal entries required to record the above transactions. $($List all debit entries before credit entries. Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select $"$No Entry" for the account titles and enter $0$ for the amounts. Record entries in the order displayed in the problem statement.$)$

Date

Account Titles and Explanation

Debit

Credit