Assume that a machine was purchased for $540,000. Cash of $180,000 was paid, and a four-year, 8% note payable was signed for the balance.

Problem 6-32 Part e-4 (i) Horizontal model Assume that a machine was purchased for $540,000. Cash of $180,000 was paid, and a four-year, 8% note payable was signed for the balance e-4. Prepare the horizontal model, to show the equal annual payments of principal and interest due at the end of each year. (Use amounts with+for increases and amounts with - for decreases.) Answer is not complete Balance Sheet Income Statement Year Assets Liabilities Stockholders' Equity Net Income Revenues Expenses (108,692) ' (108,692) (108,692) (108,692) (79,892)+ 28,800 Cash 2 Cash Cash Cash Notes payable Notes payable Notes payable Notes payable Interest expense Interest expense Interest expense Interest expense = : 3 4