Exercise 14-17 (Algo) Note with unrealistic interest rate; borrower; amortization schedule [LO14-3) Amber Mining and Milling, Inc., contracted with Truax Corporation to have constructed a custom-made lathe, The machine was completed and ready for use on January 1, 2021. Amber paid for the lathe by issuing a $500.000, three year note that specified 5% interest, payable annually on December 31 of each year. The cash market price of the late was unknown. It was determined by comparison with similar transactions that 8% was a reasonable rate of interest (of 1 PVS1 EVA 31. PVA 31. EVAD Stand PVAD of S1 (Use appropriate factor(s) from the tables provided.) Required: 1-a. Complete the table below to determine the price of the equipment 1-b. Prepare the journal entry on January 1 2021. for Amber Mining and Milling's purchase of the lathe 2. Prepare an amortization schedule for the three-year term of the note 3. Prepare the journal entries to record (a) interest for each of the three years and (b) payment of the note at maturity Complete this question by entering your answers in the tabs below. Reg 1A Reg 18 Reg 2 Red Prepare the journal entry on January 1, 2021, for Amber Mining and Miling's purchase of the lathe. (If no entry is required for a transaction/event, select "Ho Journal entry required" in the first account field. Round intermediate calculation and finanswers to the nearest whole dollar) View tractions View journal entry worksheet No Debit Crede General Journal January 01, 2021 Onice equipment Discount on notes payable Notes payable