Recording Entries for Long-Term Note Receivable; Effective-Interest Method On January 1, 2020, Jacobs Company sells land financed through a $72,000 note, issued by Andress Company. The note is a $72,000, 5%, annual interest-bearing note. Andress agrees to repay $72,000 proceeds on December 31, 2021. The prevailing interest rate on similar notes is 6%. Assume that the cost of the land is equal to the fair value of the note. Required Prepare all entries for Jacobs over the note term, including any year-end adjustments. Use the effective interest method to amortize the discount. Date Account Name Dr. cr. Jan. 1, 2020 Land Dec. 31, 2020 Cash Dec. 31, 2021 Cash To record interest on note Dec. 31, 2021 To record settlement of