Problem $5-8$A $($Algo$)$ Record long$-$term notes receivable and interest revenue $($LO$5-7)$

On December $1,2024,$ Liang Chemical provides services to a customer for $$87,000.$ In payment for the services, the customer signs a three$-$year, $10\%$ note. The face amount is due at the end of the third year, while annual interest is due each December $1.$

Required:

Record the acceptance of the note on December $1,2024.$

Record the adjusting entry for interest revenue on December $31$ for $2024,2025,$ and $2026,$ and the collection of annual interest on December $1,2025$ and $2026.$

Record the cash collection on December $1,2027.$

Prepare the journal entries for the above transactions. $($If no entry is required for a particular transaction$/$event$,$ select $"$No Journal Entry Required" in the first account field.$)$

References

$\backslash$table$[[,$No$,$Date,General Journal,Debit,Credit$],[7,1,$ December $01,$

$2024,$Notes Receivable,$87,000,],[,,,$Service Revenue,,$87,000],[,,,,,],[,2,$ December $31,$

$2024,$Notes Receivable,$87,000,],[,,,$Service Revenue,,$87,000],[,,,,,]]$