Original Journal Entry: Negotiated Bank loan on September 12, in the amount of $20,000. Prepare a journal entry to issue a 60-day, 10% note to the bank for that amount. What would be the interest due on note?

Adjusting Entry for September 30th - Accrue interest on note payable ($20,000) use a 360-day year). What would be the interest to record under adjustments for month ending September 30th.

Thank you in advance for you assistance.

Sept. 12
Dr. Cash 20,000
Cr. Notes Payable 20,000

Sept. 30
Dr. Int Expense 100
Cr. Int Payable 100
20,000 x [.1 x 60/360] x 18/60