23

On January 1, 2024, a company purchases new equipment for $697,000. The company is required to make a down payment of $127,000 and issue an installment note for the remaining balance of $570.000. The note requires payments of $77,810.59 every three months, beginning March 31, 2024, over the next two years. The interest rate on the note is 8% annually (or 2% every three months). Required: 1. Record the purchase of equipment with down payment of $127,000 and the instaliment note of $570,000 on January 1,2024 . 2. Record the first payment of $77,810.59 on March 31,2024. (If no entry is required for a particular transaction/event, select "No Journal Entry Required" in the first account field. Do not rount intermediate calculations. Round your answers to 2 decimal places.)