Entries for Installiment Note Transactions On January 1, Year 1, Luzak Company issued a $12,000,4-year, 9% instaliment note to MeGee Bank. The note requires annual payments of $3,704, beginning on December 31, Year 1 . Journalize the entries to record the following: Year 1 Jan. 1 issued the note for cash at its face amount. Dec. 31 Paid the annual payment on the note, which consisted of interest of $1,080 and principal of $2,624 Year 4 Dec. 31 Paid the annual payment on the note, induding $306 of interest. The remainder of the payment reduced the principal balance on the note. Issued the note for cash at its face amount. Year 1, Jan. 1 Paid the annal payment on the note, which consisted of interest of $1,080 and principal of 12,624 . For a compound transaction, if an amount bex does not require an entry, ieave it blank. Paid the annual payment on the note, including $306 of interest. The remainder of the payment reduced the princpal balance on the note. For a campound transactian, if an amount box does not require an entry, leave it biank. Paid the annual payment on the note, including $306 of interest. The remainder of the payment reduced the principal balance on the note. For a compound transaction. if. an amount box does not require an entry, leave it blank. Year 4, Dec: 31