$6$

Part $2$ of $4$

Required information

$[$The following information applies to the questions displayed below.$]$

On January $1,$ Year $1,$ Brown Company borrowed cash from First Bank by issuing a $$55,500$ face value, four$-$year term note that had an $5$ percent annual interest rate. The note is to be repaid by making annual cash payments of $$15,652$ that include both interest and principal on December $31$ of each year. Brown used the proceeds from the loan to purchase land that generated rental revenues of $$28,305$ cash per year.

b$.$ Organize the information in accounts under an accounting equation.

Note: Round your answers to the nearest whole dollar amount. Enter any decreases to account balances with a minus sign. If there is no effect on the Account Titles for Retained Earnings, leave the cell blank. Not all cells will require entry.

$\backslash$table$[[$BROWN COMPANY$],[$Effect of Events on the Accounting Equation$],[$Year $1,$ Year $2,$ Year $3$ and Year $4],[$Event$,$Assets,$\{$

$\backslash$table$[[$Liabilities$],[\backslash$table$[[$Notes$],[$Payable$]]]]\},\backslash$table$[[\backslash$table$[[$Stockholders$\text{'}],[$Equity$]]],[$Retained$],[$Earnings$]],\backslash$table$[[$Account Titles for$],[$Retained Earnings$]]],[$Cash$,+,$Land$],[$Year $1],[\frac{1}{1},,+,,=,,+,,],[\frac{1}{1},,+,,=,,+,,],[\frac{12}{31},,+,,=,,+,,],[\frac{12}{31},,+,,=,,+,,],[$Balance$,0,+,0,=,0,+,0,],[$Year $2],[$Beginning balance,,$+,,=,,+,,],[\frac{12}{31},,+,,=,,+,,],[\frac{12}{31},,+,,=,,+,,],[$Ending balance,$0,+,0,=,0,+,0,],[$Year $3,,,,,,,,],[$Beginning balance,,$+,,=,,+,,],[\frac{12}{31},,+,,=,,+,,],[\frac{12}{31},,+,,=,,+,,],[$Ending balance,$0,+,0,=,0,+,0,],[$Year $4,,,,,,,,],[$Beginning balance,,$+,,=,,+,,],[\frac{12}{31},,+,,=,,+,,],[\frac{12}{31},,+,,=,,+,,],[$Ending balance,$0,+,0,=,0,+,0,]]$