Bramble Corporation purchased a computer on December 31, 2016, for $119,700, paying $34,200 down and agreeing to pay the balance in five equal installments of $17,100 payable each December 31 beginning in 2017. An assumed interest rate of 8% is implicit in the purchase price.

Prepare the journal entry at the date of purchase.

Prepare the journal entry at December 31, 2017, to record the payment and interest (effective-interest method employed).

Prepare the journal entry at December 31, 2018, to record the payment and interest (effective-interest method employed).