Answer:
a.
March 1, 2020
Dr Notes Receivable 923,174
Cr Discount on Notes Receivable 323,174
Cr Sales Revenue 600,000
Dr Cost of Goods Sold 368,000
Cr Inventory 368,000
b.
December 31, 2020
Dr Discount on Notes Receivable 45,000
Cr Interest Revenue 45,000
Explanation:
Pronghorn Company Journal entries
a.
March 1, 2020
Dr Notes Receivable 923,174
Cr Discount on Notes Receivable 323,174
Cr Sales Revenue 600,000
Dr Cost of Goods Sold 368,000
Cr Inventory 368,000
b.
December 31, 2020
Dr Discount on Notes Receivable 45,000
Cr Interest Revenue (9% X $600,000 X 10/12)45,000