April 1 Hoover Company received a 7%, 6-month $50,000 note dated April 1 from a customer whose account balance

April 1  Hoover Company received a 7%, 6-month $50,000 note dated April 1 from a customer whose account balance was in default.

Oct. 1  The note is honored and no interest had been accrued.

Oct. 1  Assume instead that the note is dishonored by the customer and there is hope of future collection.

Oct. 1  Assume instead that the note is dishonored and there is no hope of future collection.

Required:

Prepare journal entries