An advertisement for specialized equipment states that the list price of the equipment is $ 40,000. It requires assuming a promissory note for four years and an interest rate of 13% per year. The promissory note stipulates an annual payment of $ 11,500. The first payment will be made one year after purchasing the equipment.

At what quantity should the equipment be registered when it is purchased? Use Excel to prepare the amortization table for the promissory note. How much will the debt balance be after making the second annual payment?