4. Acquired Equipment for $11,000,000 on January 1, 2008, with a down payment of $1,000,000. The going market interest rate at the time of acquisition was 10%, the salvage value is $200,000 and the useful life is 10 years. The balance was paid on 5 equal annual installments: The company uses double declining balance method of depreciation. Required: Prepare entries to record the acquisition of the equipment and other necessary entries including all the payments, interest recognition, and depreciation on December 31, 2008, 2009, 2010, and 2011 . When you undertook the preparation of the financial statements for Telfer Company at January 31, 2013, the following data were available: At Cost At Retail Inventory, February 1, 2012 $70,800 $ 98,500 Net Markdowns 10,000 Net Markups 8,000 Purchases 219,500 394,000 Sales 310,000 ases return d allowances 4,300 5,500 Sales returns and allowances 10,000 Instructions Compute the ending inventory at cost as of January 31, 2013, using the retail method which approximates (A) lower of cost or market (B) Retail Average Cost and (C) Retail LIFO. And (D) Assuming the price index at the end of the year is 105% and dollar value lifo was adopted at the beginning of January, 2013, Your solution should be in good form with amounts clearly labeled. 6. Prepare journal entries to record the following transactions relating to long-term bonds of Kirby, Inc. (Show computations. On June 1, 2011, Kirby, Inc. issued $3,000,000, 6%, 10-year bonds at a yield of 8%. Interest is Required: payable semiannually on February 1 and August 1 with the bonds maturing on February 1, 2021. Make necessary entries for the sale of the bonds with accrued interest, and all other necessary entries during the year ending December 31, 2011. The company uses effective interest method of amortization