Exercise $10-4$A $($Algo$)$ Financial statement effects of an installment note LO $10-1$

A partial amortization schedule for a $10-$year note payable issued on January $1,$ Year $1,$ is shown next:

a$.$ Using a financial statements model, record the appropriate amounts for the following two events:

$(1)$ January $1,$ Year $1,$ issue of the note payable.

$(2)$ December $31,$ Year $1,$ payment on the note payable.

b$.$ If the company earned $$78,000$ cash revenue and paid $$53,000$ in cash expenses in addition to the interest in Year $1,$ what is the

amount of each of the following?

$(1)$ Net income for Year $1.$

$(2)$ Cash flow from operating activities for Year $1.$

$(3)$ Cash flow from financing activities for Year $1.$

c$.$ What is the amount of interest expense on this loan for Year $4?$

Complete this question by entering your answers in the tabs below.

Required B$1$

Required B$2$

Required $B3$

Required $C$