Prepare the Necessary Journal Entries for the Following Transactions

question 217

Essay

Prepare the necessary journal entries for the following transactions:
(a) On September 1, Cole Company borrowed $250,000 from National Bank on a 6-month, 6% note.
(b) On December 31, Cole Company accrued interest (assume adjusting entries are only made at the end of the year).

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Definitions:

Counterconditioning Procedures

Techniques used in behavior therapy to replace a negative or unwanted response to a stimulus with a positive one.

Mary Cover Jones

An early psychologist known for her work in desensitization therapy, helping to lay the foundation for behavior therapy.

Joseph Wolpe

A South African psychiatrist best known for developing systematic desensitization, a method used in behavior therapy to treat phobias and other anxiety disorders.

Virtual Reality Exposure Therapy

A counterconditioning technique that treats anxiety through creative electronic simulations in which people can safely face their greatest fears, such as airplane flying, spiders, or public speaking.