A partial amortization schedule for a 10 year note payable issued on January 1, Year 1. is shown next Accounting Principal Balance Applied to Applied to Period January 1 Cash Payment Interest Year 1 Principal $200,000 $27.174 $12,000 $15, 174 Year 2 184,826 27,174 11,090 16,084 Year 3 168, 742 27,174 10,125 17,049 Required a. Using a financial statements model, record the appropriate amounts for the following two events: (1) January 1 Year 1, issue of the note payable. (2) December 31, Year 1, payment on the note payable. b. If the company earned $62,000 cash revenue and paid $45,000 in cash expenses in addition to the interest in Yeart, what is the amount of each of the following? (1) Net income for Year 1, (2) Cash flow from operating activities for Year 1. (3) Cash flow from financing activities for Year 1 c. What is the amount of interest expense on this loan for Year 4? Complete this question by entering your answers in the tabs below. Rega Reg BI Reg 2 Reg 33 Reqc Using a financial statements model, record the appropriate amounts for the following two events: (1) January 1, Year 1, Issue of the note payable (2) Decem payment on the note payable. (In the Statement of Cash Flows column, use the initials OA to designate operating activity, IA for investing activity. FA for finar blank to indicate no effect. Enter any decreases to account balances and cash outflows with a minus sign.) Financial Statement Model Income Statement Stockholders Ravenue Expenses Equity Balance Sheet Liabilities Statement of Cash Flows Event No Not Income Assets 1 2 Complete this question by entering your answers in the tabs below. Req Reg B1 Reg 32 Req Bu Reqc If the company earned $62,000 cash revenue and paid $45,000 in cash expenses in addition to the interest in Year 1, what is the amount of net income for Year 17 Expenses Total expenses If the company earned $62,000 cash revenue and paid $45,000 in cash expenses in addition to the Interest in Year 1, what is the amount of cash flow from operating activities for Year 17 (Cash outflows should be indicated with a minus sign.) Cash flows from operating activities Net cash flow from operating activities Complete this question by entering your answers in the tabs below. Rega Req 81 Red B2 Rege Reqc If the company earned $62,000 cash revenue and paid $45,000 in cash expenses in addition to the interest in Year 1, what is the amount of cash flow from financing activities for Year 1? (Cash outflows should be indicated with a minus sign) Cash flows from financing activities Not cash flow from financing activities Complete this question by entering your answers in the tabs below. Reg A Reg 81 Req B2 Reg 13 ReqC What is the amount of interest expense on this loan for Year 4? (Do not round intermediate calculations. Round your answer to the nearest dollar amount.) Interest expense
