Cash DiscountsPrianka Porter manages Studio Sound, an audio components specialty shop.Prianka is negotiating a $$25000$ order from one of the shop's main suppliers, Audiotronic Suppliers. The supplier has offered a $3$ percent discount if payment is made within $15$ days. Studio Sound does not have enough cash on hand to take advantage of the discount.Studio Sound has a good relationship with its bank. Prianka can obtain a$30-$day loan at an annual rate of $10$ percent. Prianka is certain that within $30$ days, there will be enough cash on hand to repay the bank plus interest.Questions$1.$ How much is the discount on the purchase?$2.$ How much is the interest expense on the $30-$day loan?$3.$ Would you recommend that the loan be made and the discount taken?$4.$ Prepare the journal entry to record the purchase from Audiotronic Suppliers$\mathrm{.}5.$ Prepare the journal entry to record the bank loan$\mathrm{.}6.$ Prepare the journal entry to record the payment to Audiotronic Suppliers$\mathrm{.}7.$ Prepare the journal entry to repay the bank.