Samson Corporation Issued A 4year 75000 Zerointerestbearing Note To Brown

Samson Corporation issued a 4-year, $75,000, zero-interest-bearing note to Brown Company on January 1, 2011, and received cash of $47,664. The implicit interest rate is 12%. Prepare Samson’s journal entries for

(a) The January 1 issuance and

(b) The December 31 recognition of interest.

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