Pina, Inc. issued a $$120,000,4-$year, $8\%$ note at face value to Flint Hills Bank on January $1,2020,$ and received $$120,000$ cash. The note requires annual interest payments each December $31.$

Prepare Pina's journal entries to record $($a$)$ the issuance of the note and $($b$)$ the December $31$ interest payment. $($If no entry is required, select $"$No Entry" for the account titles and enter $0$ for the amounts. Credit account titles are automatically indented when amount is entered. Do not indent manually.$)$

No$.$

Date

Account Titles and Explanation

Debit

Credit

$($a$)$

$($b$)$