Following are selected transactions Deshawn Company for 2010. Dec. 13 Accepted a $20,000, 45-day, 8% note dated December 13 in granting Latisha Clark a time extension on her past-due account receivable. 31 Prepared an adjusting entry to record the accrued interest on the Clark note. First, complete the table below to calculate the interest amounts at December 31st.

Following are selected transactions Deshawn Company for 2010.   

Dec.	13	Accepted a $20,000, 45-day, 8% note dated December 13 in granting Latisha Clark a time extension on her past-due account receivable.
	31	Prepared an adjusting entry to record the accrued interest on the Clark note.

   First, complete the table below to calculate the interest amounts at December 31^st.

 
Use the calculated value to prepare your journal entries.
 
Explanation:

Dec.

31

$20,000 × 0.08 × 18 / 360 = 80