Amber Mining and Milling, Inc., contracted with Truax Corporation to have constructed a custom-made lathe. The machine was completed and ready for use on January 1, 2021. Amber paid for the lathe by issuing a $800,000, three-year note that specified 6% interest, payable annually on December 31 of each year. The cash market price of the lathe was unknown. It was determined by comparison with similar transactions that 11% was a reasonable rate of interest. (EV of $1. PV of $1. EVA of $1. PVA of $1. EVAD of $1 and PVAD of S1) (Use appropriate factor(s) from the tables provided.) Required: 1-a. Complete the table below to determine the price of the equipment. 1-b. Prepare the journal entry on January 1, 2021, for Amber Mining and Milling's purchase of the lathe 2. Prepare an amortization schedule for the three-year term of the note. 3. Prepare the journal entries to record (a) interest for each of the three years and (b) payment of the note at maturity Complete this question by entering your answers in the tabs below. Req 1A Req 18 Req 2 Req 3 Complete the table below to determine the price of the equipment. (Round final answers to the nearest whole dollar.) Table values are based on: n 3 11.0% Cash Flow Amount Interest $ 48,000 Principal $ 800,000 Present Value Req 1A Req 18 Req 2 Req 3 Prepare the journal entry on January 1, 2021, for Amber Mining and Milling's purchase of the lathe. (If nontry is required for a transaction/event, select "No journal entry required" in the first account field. Round intermediate calculations and final answers to the nearest whole dollar.) View transaction list View journal entry worksheet General Journal No Date 1 January 01, 2021 Equipment Discount on notes payable Notes payable Debit Credit 800,000 Req 1A Req 1B Req 2 Req 3 Prepare an amortization schedule for the three-year term of the note. (Round intermediate the nearest whole dollar.) Cash Payment Effective Interest Increase in Balance Outstanding Balance $ 800,000 1 $ 48,000 2 48,000 3 Total $ 96,000 < Req 1B Req 3 > Prepare the journal entries to record (a) interest for each of the three years and (b) payment of the note at maturity. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Round intermediate calculations and final answers to the nearest whole dollar.) View transaction list Journal entry worksheet < 1 2 3 4 Record the interest in year 1. Note: Enter debits before credits. Event 1 General Journal Debit Credit