The following transactions of My Dollar stores occurred during 2006 and 2007:

The following transactions of My Dollar stores occurred during 2006 and 2007:

**2006**

Feb 3 – Purchased equipment for $10,000, signing a six-month, 9% note payable

Feb 28 – Recorded the week’s sales of $51,000, one-third for cash, and two-thirds on account. All sales amounts are subject to a 5% sales tax.

Mar 7 – Sent last week’s sales tax to the state

Apr 30 – Borrowed $100,000 on a four-year, 9% note payable that calls for annual payment of interest each April 30

Aug 3 – Paid the six-month, 9% note at maturity

Nov 30 – Purchased inventory at a cost of $7,200, signing a three-month, 8% note payable for that amount

Dec 31 – Accrued a warranty expense, estimated at 3% of total sales of $260,000

Dec 31 – Accrued interest on all outstanding notes payable. Accrued interest for each note separately.

**2007**

Feb 28 – Paid off the 8% inventory note, plus interest, at maturity

Apr 30 – Paid the interest for one year on the long-term note payable

TASK:

Please record the transactions in the company’s journal within the Excel sheet attached. Explanations are not required.

The following transactions of My Dollar stores occurred during 2006 and 2007: