Exercise 10-9 (Static) Acquisition cost; noninterest-bearing note (LO10-3) On January 1, 2021, Byner Company purchased a used tractor. Byner pald $5,000 down and signed a noninterest-bearing note requiring $25,000 to be paid on December 31, 2023. The fair value of the tractor is not determinable. An interest rate of 10% properly reflects the time value of money for this type of loan agreement. The company's fiscal year-end is December 31 (EV of $1. PV of 1 PVA of $1. PVA of $1. FVAD of S1 and PVAD of 5) (Use appropriate factor(s) from the tables provided.) Required: 1. Prepare the journal entry to record the acquisition of the tractor 2. How much interest expense wil the company include in its 2021 and 2022 Income statements for this note? 3. What is the amount of the ability the company will report in its 2021 and 2022 balance sheets for this note? Complete this question by entering your answers in the tabs below. Rea 1 Reg 2 and 3 Determine how much interest expense the company will include in the income statements and the amount of the ability the company will report in the balance sheets for this note for 2021 and 2022. (Do not round Intermediate calculations. Round your answers to the nearest whole dollars.) 2021 2022 Interest expense Liability amount (Reg 1 TABLE I Future Value of $1 FV $1(1+0) 10.046 110 12.04 6,096 8.09 7.04 9.09 109000 20.09 120000 1 11000 1 06000 107000 144000 1.10000 121000 1 33100 112100 118810 29503 1.000 116640 1.25971 136049 A LOS 1.5% 2016 104 3.55 4046 454 SON 5.546 1 101000 101500 102000 102500 103000 103500 101000 10400 105000 1.05500 2102010 101022 104640 105003 06090 107123 10816010920310250 L11303 3 109030 104508 1.66121 107689 09273 10872 1.12486 114117 11576) 111424 4 10000 106136 108143 110381 112551114752 1.1696 119252121551 1232 5 105101 10728 110408 1314 1.15927 115769 121665 124618 127628 130696 1.23210 136363 1.14190 1.22504 1.31080 1.40255 1 12000 1 25440 1.40493 1.57352 1.76234 1.19102 1.26248 13323 141156 146410 1 61051 1.51807 168506 17200 207360 242 1.46933 1 53862 298528 1 SB6 1.67710 3.5318 17132 1.87041 201616 230454 610615210934412616 1 1999 119-405 1.22926 126532130226 13401037884 7 107214 11094 114549 119 122957127228 131593 1.36086 140710 1.45468 8100236 1.12649 117166 121840 126677131681 1.36857 142210 147746 153409 910909114339 119509 1.24336130477 136290 1.42331 148610 155133161909 10 1.10462 116054 121899 123008134392141000 1.48024 155297 167859 1.70814 1.50363 1.595 1.6094 1.79085 1.50073 1.60578 171819 133846 1.96715 1.77156 1942 214159 235795 19732 22106 2.47596 2.77305 3.105ES 185093 1.99900 199256 217189 236736 2.55804 283942 5.15970 6.19174 215892 259374 285312 3.15176 169845 3.6755 3.99 7.000 8.91610 1.89830 201220 2.13293 226090 1111156711779514337131209 33423 45997 153945 16228571034 1 80209 12 113653 1.19562126824 1.34489 142576 151107 1.60103 9 1.79586 1.90121 13 1309 1213551293613751 146853156996 07 772203565 2.00577 14 114947123176 131948 141297151259 6189173168155194 197993211609 15 116097 125023 134557 144530 155797 1.67535 1.60094 193526 2.07893223248 2.10485 2.25219 2.4095 257853 233164 2.51817 2.71962 2.93719 317217 256013 2.81266 3.00 3.34173 3.6445 43649 345227 3.79750 417725 431044 478459 1069 123918 15.40702 2.39656 2.75903 5.47157 295216 3.97031 613039 531089 459497 5.05447 5.89509 6.36604 15 22136 2013 3.1582 3.37993 16 11725 126899 1.37279 148451 160471 1.73399 17298202237 216287 235526 254015 17 118430 125802140024 15216216528517945819790211338 2.9202248450269277 18 LIMIS 130734 142325155966 1.70043185749 203582 2.20848240062 262147 285434 19 120811 132695 145681 165 175351 192250 2.10635 230786 252095 2.76565 302560 20122019 134636 143595 1.61862 1.80611 191792.19112 241171 265330 291776 330714 3.70002 360 4 31570 4 32763 471712 5.14166 5.6041 5.55992 611591 3.61653 3.80 726334 806231 361276 9.64629 4 56096 38 33760 4.14056 6.1058 740035 21 121239 136706 151567 167956 186029 205943227877 252034 2.78596 3.07823 8.94917 10 ES 4600512 251241450951 64061185994 209372363264265843.0054338535380319 5.42743 8.629081071 13.556 17 00000 5.7419 7612M 30184755 156308181136 2097572.4272628067932434017453247194498195 1005206 13.26708174414022923029.959 40 141816 181402 220801 2.68506 326204 39596 480102581636 70399 880331 102857149744621724523140143 930507 477100 TABLE 2 Present Value of $1 $1 (1+1) PV 3.34 704 w LOS 1.596 2.046 SCO 4.046 4,344 5.09 5.59 6.096 8.096 9.09 10.04 11.09 12.0% 20.0% 1099010 0.9522 0.98039 097561 091087 09615 096154695694 0.95238 094787 094340 093458 0.92593 0.91743 090909090090 0.89286 0.83333 2 098030 097056 096117 0.95181 094260 093351 093456 091573 090703 089845 0.89000 0.87344 085734 0.54168 0.82645 0.81162 0.79719 06944 3097059 095652 0.94232 092800091514090194 0900 0.87630 0.36384 0.55161 033962 081630 0.79383 0.77218 075131 073119 071178 0.57870 4096093 0.94218 0.92385 090595 0.55549 06714085430 3356 082770 080722 0.79209 076250 0.73503 0.70543 065301 0.65873 063552 0.48225 5095147 0.92826 090573 038385 086261 014197 082193 080245 0.78353 076513 0.74726 071299 065058 064993 062092 059345 0.5670040158 6 0.94305 0.91454 0.38791 0.8633083745 0.81350 0.70031 0.76790 0.74622 0.72525 0.70496 0.66634 0.63017 0.59627 0.56447 0.53464 0.50663 03490 7 0.93272 0.90103 0.87056 054127 031309 0.78599 0.75992 0.73483 0.71068 068744 066506 0.62275 056349 054703 0.51316 0.48166 0.45235027905 80.92343 080771 085349 083075, 0.78941 6.75941 073009 0.70319 067684 061600.67741 0.58201054027 050187 046651 043393 0.40388 023257 9091434 0.87459 033676 080073 0.76612 0.73373 0.70259 067290 0.64461 0.6176 0.59190 0.54193 050025 0.4608 0.42410 0.19092 0.36061 019381 10 090529 0.86167 082035 0.78120 0.74409 070192 067556 0.64393 061391 0.58543 055839 050835 0.46319 0.42341 0.38554 0.35218 032197 016151 110.89633 0.54193 0.80426 0.76214 0.72342 0.65495 0.64958 0.61620 0.58468 0.55491 0.52679 0.47509 0.43558 0.38753 0350-49031728 0.28743 0.13459 12 0.88745 0.33639 0.75849 0.74356 0.70138 0.66178 0.63460 0.58966 055684 0.52598 0.49097 0.44401 0.39711 0.35553 031563 0.28584 0.25668 0.11216 13 037156 0.80403 0.77303 0.72542 0.68095 0.61940 0.60057 056427 053032 0.49856 0.46554 0.41496 0.36770 0.32618 0.25966 0.25751 0.22917 0.09346 14 06 081165 0.75765 0.70773 066112 0.61778 057348 0.53997 0.50507 047257 0.44230 0.38782 0.34046 0.29925 026333 023199 0.20462007719 15 0.86135 079985 0.74301 0.69017 061156 059689 0.55536 0.51672 048102 04479 041727 0.36245 031524 0.27454 023939 020900016270 005191 16 0.85382 0.78803 0.72845 0.67362 0.67317 0.57671 0.53391 0.49447 0.45811 0.42458 0.39365 0.33873 0.29189 0.25157 0.21763 0.18829 0.16312 0.05409 17 0.54436 0.77639 0.71416 065720 0.60502 0 55720 0.51337 0.47318 0.43610 0.40245 0.37136 0.31657 0.27027 0.231070.19734 016963 0.14564 004507 15 083602 076491 070016 064117 0.58739 053836 049363 0.45280 041552 038147 035034 0.29586 0.25025 0.21199 0.17986 015282 013004 003756 19 082774 0.75361 063643 0.62553 0 57029 0.52016 0.47464 0.43330 0 39573 0 36158 0.33051 0.27651 0231710.1949 016351 0.13768 0.11611 000130 200.81954 074347 067297 0.61027 0.55368 0.50257 0.45639 041464 0.37689 0.34773 031180 0.25842 0214550.17843014864 0.12403010367003008 21 0,81143 0.93150 8.65978 0.59539 0.53755 0.48587 0.43583 0.10679 0.35894 0.33486 0.20416 0.34151 0.19866 0.16370 0.13513 0.11174 0.09256 0.02174 24 0.78757 69954 0.6172 055235 0.49193 0.43796 0.39012 0.34770031007 0.27666 0.14098 0.19715 0.15770 0.126400 10153 0.08170006588001258 25 0.77977 068921060953053939 047761 042315 0.37512 0.33273 0.29530 026223 0.233000.15425 0.14602 0.11597 00920 007361 00001048 28 075654 065910 057437 050088 0.43708 0.38165033348 029157025509 0.22332 0.195630150400.115910089550.0094 00538200487000007 29 0.7494 061936 056311048866 0.43435 0.36875 0.32065 0.77902 024195 021168 0.13456 0.14056 010733 0.05215006304 004549 0.03738 000506 30 0.74192 0.6176 0.58307 047674 041199 0.35628 0.30832 0.36700 0.93138 0.10064 0.17411 0.13137 0.09938 0.07537 0.05731 0.04308 0.03338 0.00421 31 0.73456 0.63031 054125 0.46511 0.9999 034423 029645 0.25550 0.73036 019018 0.16435012277 00920200001500531000193 002930000351 40067165 035136 045289 017343 030656 025357 020829 0.17193 0.14205 011746 0.02 0.00678 00100 003184 002209 001538 001075 0.00068 CABLE 3 Future Value of an ordinary Annuity of $1 (1+1)-1 FVA 1.045 1.54 2.046 WE 3.5 00 45 545 60 77096 103 9.045 12.04 1 10000 10000 10000 10000 10.01 10000 1.0000 SAS 10000 20500 10000 10000 20100 3031 10000 10000 26350 10000 0356 26300 10000 20700 20400 1049 10000 20600 3.18 10000 20500 50909 41 20800 2.1200 1.0000 21100 341 21000 3100 3.045 10000 2.3000 36400 20000 3.2781 3.000 30156 3106 3.1370 31 4 40604 40909 16 4210 21210 43 5416 3454 5051 49 3191 41216 53040 43746 32149 44399 5.7507 46410 2007 OWS 5 5.1010 5.1523 43423 3.5811 5001 54613 54291 55156 5.6371 5666 59647 6 1051 6151 7:4116 6710 63019 69733 7.3159 7.5233 7.715 9.353 16540 79129 9713 8.0192 61 8990 93004 94872 6721 6.3081 63877 6.4654 655 6.631 72135 73230 7.5474 76635 77794 29 3257 2412 1933 9.05 9210 9 5995 9.7545 99545 10 10 10 368510 50 10104522 10 12 10 9091 1130141459117314120011 115 100 122 30 97216 3 CSS 7361 129159 16. 9.3800 9.1975 10359 10616 11025 11154 6 100 9.50 11.6366 125779 101011 1140359 135795 112563 141640 207 110913 13 1308 12.2012 124576 14 130210 15.1999 14.7757 175 12754 136164 159374 16.7230 TIMES 14.08 2005 149716 16 15 145835 163856 1525 15.7836 ES 201406 11 11.5 113 12.18 12.4335 12.078 1.1430 13.4864 12 12.075 1042 134021 13.7956 141930 14000 15.0058 13 093 142368 1480 151404156176 1611301663 14141414154504 159791659017031767012919 15 160 161 1794 179319 185909192957 2006 16.6455 1971 21.00 11.5663 201607 3433 CORSE ASI 18011 21350 34527 229750 25 2116 280291 HOS 1770 1958 215765 59 1950 21011 33 2700 2014 27 1521 2360 4054 37.3797 27.381 30 TI 21.7123 34.17 251404 26964 105 900 16 1935 1934 193 19.303 30.1111 11145 17184304 19.2014 0112016472181627050336975 18196143064714123133134147256454 1930310921793600339660351109263572276712 20 22.019023123224297425547 26-704 23297 2977 69737 411013 405447 455992 BOOST LED 376 33.999 373790 DESDE 0000 32 1027 1483 313714 4601 51 1601 45 572750 BOY 18 11139314699525743371833 1.7453310 30 347649 3733570560027 475756516221 56059 610071 72.4355 40065436790206740361540134039503551070303 1907 1906 1947 1996351 358 06723216709140 TABLE 4 Present Value of an ordinary Annuity of $1 1 PVA 7.046 1546 5.046 4.09 6:04 4.544 154 2.046 3.546 09661 3.54 0.94787 1 2.046 098039 1 94156 0.99010 097561 097087 0.96154 0.94340 11119 0.92593 178336 1 34632 1.89969 197040 2 0.9852 195555 2.91220 3.85438 478264 191347 282501 133609 2.77509 192742 285602 9.76197 294099 9.046 100 11.04 12.09 30.096 0.91143 0.90909 0.90030 0.89286 0.83333 1.75911 1.73554 1 71252169005152778 2.531192.486852.44371 240183 210648 3.239723.169873.10245 3.03735 2.56873 3.889657907969590360478 2.99061 0.95694 167267 274896 3.55753 438998 095238 185941 2.72335 3 54595 4.32948 280164 0.93456 130802 263432 3.38721 410020 269793 3.50515 267301 3.46511 2.88388 380773 4.70346 3.90197 257710 3.31213 3.99271 3,67308 3.62990 4 45162 3.71710 4.57971 4.27025 451505 421236 464533 5 5.SOSIS 5.41719 5.32855 5.15787 5.60143 6.47199 5.24214 6,00205 4.76654 5.38929 4.67385 520637 6.39.39 5.07560 5.78637 6.46321 6,11454 3.89270 6.5959 5.68297 633457 5.79548 569719 6.72819 6.59821 8 765105 7.48593 8.56602 8.36052 10 947130923215 5.74664 687396 491732 5.58238 6.20979 6 0169 7.36009 44893435536 423054 411141 3255 503295486842471230 4.56076 3.60459 5.5348253349351461249764333716 5.99525 5.75902 5.53705 53225403097 6.417666.14457 81923 565027419347 6.23028 701909 7.78611 8.53020 7.32545 8.16234 7.17014 7.97057 5.97130 6.51523 6.73274 743533 811090 7.60769 8.31661 726579 7 10782 7.72173 6.95230 753763 6.34689 671008 8.95299 7.0X150 8.75206 7.91272 711 7.49567 7.94369 35765 7.53000 11 16:36763 10.07112 9.78685 9.51411 9.25263 9.00155 8.76048 8.30641 3.09154 7.58687 12 1135508 10907511057534 10.25776 9.95400 9.66333 9.30 9.138 8.36325 8618 8.38154 13 1213314 1173153 1134837 10.9831910634961030274 9956 9.68255 99357 9. 11708385368 9.5895 9.89864 9.1998 14 13.00370 12 5038 1210625 11 1091 11.29607 1093052 10.56312 1027283 15 13 13 3423 12.84926 12.38118 11937941151741 1111019 10.73955103796 1003758 9.71235 7.90378 324424 855948 6.319 6.49506 630539377031706 7.160736811096492366137443932 7.45071033661497642355 453368 773615 7366696981676681461057 806000760608 719087681086467547 9.10791 16 14.71787 1413136 13.57771 13.50 12.56110 12.09413 11.45330 1133402 1083771 16.46216 10.05 11 1556235 14.907651429187 13.7122013.166121265132 12 16567 11 707191117407 1086461 10.47726 9.7633 15 16 17 15 67256 14.99203 143336 1375351 13.18 12 65930121599911689591124607 0176010000 1972601 16:43017 15.67546149759 1432350 1370954 13 1339412593291205532 11.607651 1512 10 33.560 20104555 1716164 1635143 15 58916 14871471431340 1359033 1300794 12.4033111950381140993 10 5001 5137 911164 9371 9.60300 3.31356 78231 7.37916 6971972956 35461 02155 75479 711903471463 8.75563101417.7016274967431219 390116492739297385784300 918555135679631374958 11 18:08 17.90014 17.01111 16.18455 15.41501 14.6179 14.0296 13.44711200115 11.27534 11.68 10.83 10.01680 352302316 30.1961 1952345 114748 174131516:45151 1563300 H400394 1341391278336 1165358 10677 9322589077048421147414759 302534015543420100 19 6004151305 17 293011628591537245453751376481240904 257710 4700130513 4034029915621.35548 25 1027833114772135507 19.79777 1840158 17.15908 16046121504133317193461 10.75736 77 10 TABLE 5 Future Value of an Annuity Due of $1 > (1+) FVAD 10.04 9.09 20.04 6.05 4.594 1640 7.016 3.09 8.096 1.544 104 2045 5.09 1.39 1 0150 4.046 10100 5.59 10550 11.09 1.1100 1.000 10500 1 2000 10100 100 LONSO 10700 1 0450 21370 10500 2.1525 12.09 1.1200 2374 1 0900 2701 1. 1000 23100 20452 20604 2121 210909 21062 10000 2.2454 3.5061 2.1216 2 1636 2.1680 22149 1 10100 220301 3 36604 4 4.1010 20756 3152 26400 43680 3.7097 3.1216 3.5731 31816 3.0909 33101 32465 3.2149 3.3423 3.2782 33746 3.4999 47507 45 $350 49547 4040 43625 42561 3.6410 5 1051 6.7156 43091 46371 4.5811 44163 4.5256 41523 5 2196 44107 5.7169 6.4416 8.9299 6.9129 53177 516064 7.1152 5.5502 5630 5.3081 5.9753 6 1533 51520 6 3359 3.3019 6.5233 5.8881 OS 1915 7,0193 7140 8.2004 7.3918 7.6540 27 10.8594 11.2997 37216 81975 62135 6.3230 6.4145 6.5414 6.4635 6.7794 6.8983 2 72857 74325 7.5810 7.7361 78923 8.0517 82142 3.3635 85593 8.3516 8.9545 91591 9.3655 9.5828 94623 9.7027 99497 10 2034 104699 107314 11.0061 10 10 5655 10 1033 11 1687 11453511 078 12 1420 124864 8 3800 9.8021 154991 19.799 7.1410 8.5191 10.0366 11 5779 13.2008 10.2563 79328 9.6166 11.4876 134566 156053 1 9.2598 109730 128164 14.7536 8.4872 10.09 12.5795 149374 175312 100285 12 0210 14. 1929 16 5500 10:4913 12.1808 13.9716 13 1640 15.7220 16.54 6 118754 135835 31.1504 12 8412 2014 S. 16.3585 19.1400 19. 1407 219514 21.7132 25 2116 15.99 17.8821 20 0151 22 2760 1685 011 12.4121 12.7956 13.1970 13.6030 14,0258 14.4540 14.9171 153556 12 12 8093 12300 116503 141404 146175151130156768 16 1599 16.7130 17200 1) 1474 144504 14.979 155 160 166710 17.2919 17.9321 185966 19.2920 14 15.09915611 16.2934 169319 17.5989 15 2957 19 0236 19.7641 20.5786 214087 15 16 2579 16,934 17 693 18.3302 19.15001997102034521719 22 6575 236411 28 270291 3.1996 17.9771 204953 23210 26.1521 29.114 47.4966 58 1959 21550 24.1290 361 35 0192 201609 320034 269750 30 7725 349097 334054 38189 3697 417513 ICH 19.5401 41.500 35.9737 NT 104.9300 27.129 29.9057 1000 32.9502 364503 404163 39.5407 46599 493959 14.404 15.9964 27.13 284812 29 5190 311027 330660 36.7801 547497 16 19.4364 18.2014 19.012119.8647 10.7616 21.7050 11.6075 21.7417 17 186142 194194 204123 21383224144 234997 246454 25551 11191109207072161061291603411692535766712 280636 1921010221237 2329445447 358704 273797 267781 303714 30 22913347052478326.183327616529195809092 32.7831 50 151 40 301 45018 SO 1601 559193 36.3790 9.55 44100 61.00 7131 BONT LE 11134716 14.8976 1610 37.8619 20.5 31.330 33140 18.3034 375031 45. OST 30.114 25385358 10 5140 32.6709350117 37 5530403131 5360 581564 67 6705 92130108188136 301513213310184137445.000 490037584955833 637514 091000 764194 33 011010112234975218014230902 170 29308 40 49.372 550819 61610060816 776533 17.00 115 111 547 1360 1441189 164047721360977978108191946 15181 TABLE 6 Present Value of an Annuity Due of $1 PVAD X (1+1) 4.09 6096 459 7.04 1.04 8.09 554 9.09 2.09 1.59 1 100000 100000 100000 100000 100000 199010 1 00000 195238 1.00000 194787 100000 193458 100000 1.92593 2 198039 197561 1.95154 100000 1.5832 25 391220 3.04 3.54 1 00000 100000 197087 196613 291147 3.82861 30164 471710 467308 100000 195094 2767 3.74896 2.94156 10.04 ILON 12.05 2004 1.00000 100000 100000 100000 1.90909120000192861333 2.73554271252709003257778 346 347 3401310648 410957410345 403735 SETY 2009 235941 2114 100000 194340 283319 3.67301 440511 297040 3.94099 20 36342 191743 275911 3.53129 429972 + 3.53 335663 369793 2.78136 3.57710 431213 3.77509 4.6.1990 3.72325 4.54595 4.90197 435435 4.30773 41619 458153 450515 5.78364 5.57971 551 5.4SINE S1993 SOLES 10 5.91346 660143 T47199 5.21236 5.91732 6 S85343 6.79548 8 2.72519 9865165 10 956500 4.99271 5.6230 5.54583 650301 7.34999 3.17014 897087 669719 1.59821 143593 9.36052 632055 7.11454 641719 723028 8.01969 615787 690 6,24214 700205 7.73274 343533 5.33945 607569 6 1617 740321 599553 668297 733457 795210 576654 6329 697130 751533 1965 5.4392 603295 6518 699535 4.79079 4.50 4.60478 3.0 3.35526 513054 511141432551 580642 570 55678 460059 6.33493614012597644716 6.7502653705612835 503097 7.30979 8.32541 9.16224 6.2007 67464 726 787396 6070 7.59589 3279 8.7611 10782 7.30169 7.7100 SOLO 11 10.4713010230 9.98250 9.75205 9.53030 31461 9.11090 391171 1.72173 8.36009 12 11 1676) 10 10.5 10:51 10:25 1000155 953892 9.10641 500254 8887 131225508 1110111157534 1125776 10 954001060133 10.109325 90185 9.38334 14 13.13394 11.731511234857 1198315 1163496 1130214 109565 10.5 10.39357 10.11708 935265 15 14.00370 1.438 11 10635 12.69091 12.29607 1193051 152 10.89864 1058965 10.2009 7411 7301 816073 7.1445713123 74950876.9377032706 7.8136939216719487 5.0922 8.103367.1074235555336 3.3660979018776817 5.61057 8.90378 935765 914547 9.24424 1015 16 14.605 144333 11.3436 113138 13.0374 12.01741 13.118 117 11.3 1143798 10.71235 10.10791 9. 17 1.71751511614377140550013501101394212630121015773146116 11 10010 13 16 56235.00 15 1 14.12.2014.16012136 13 16567 12.70719 12.2011 114772610183321013164 19 1731 16 67156 15.99203 15 35336147535111896313650131599 12.68959123407 11 2760 1101010 20 12200 174121067545 1597915320479934 14.13394 1359129 130 12.6076512 1581211330100100 3.607.10 1231378797357954 9021554 1953 9.201410075 936497 387858430 9.30 11 19.04558 I1084 14.814 16.59916 15.794 1311140 14.0013 14.00794 18:4611 11.50 11.4083 1081315 10.11 16. 33134101011 19919 18 19 179339470181716.3495154548 14798641151135503613 151070001 36657148323481453552018845190397 1798371170113161107111111011171215541 10.0003181592 4316051010458 270299 15.790447380822 22.1015030564181922966 18.01704 1497846159490714100 1287858 11.75 10 30