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Help Save & Exit 14 Homework Check Amber Mining and Milling, Inc., contracted with Truax Corporation to have constructed a custom-made lathe. The machine was

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Help Save & Exit 14 Homework Check 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, 2018 Amber paid for the lathe by issuing a $800,000, three-year note that specified 5% interest, payable annually on December 31 of each year. The cash market price of the lathe was unknown. It was determined by comparison with similar transactions that 9% was a reasonable rate of interest. (FV of $1. PV of $1. EVA of $1. PVA of $1. EVAD of $1 and PVAD of SD (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, 2018, 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 Reg 3 Complete the table below to determine the price of the equipment. (Round final answers to the nearest whole dollar.) Table values are based on: Prev 14 Homework Saved Complete this question by entering your answers in the tabs below. Reg 1A Req 1B Reg 2 Req 3 Complete the table below to determine the price of the equipment. (Round fin Table values are based on: Present Value 1= Cash Flow Amount Interest Principal Price of equipment Req11 Prey 3 of 3 Complete this question by entering your answers in the tabs below. Req 1A Reg 1B Reg 2 Req3 points Prepare an amortization schedule for the three-year term of the note. (Round fi eBook Cash Payment Effective Interest Increase in Balance Outstanding Balance Hint Print References Total Saved Homework 0 Reg 1B Req 1A Reg 2 Reg 3 Prepare the journal entries to record (a) interest for each of the three years and (b) payment required for a transaction/event, select "No journal entry required" in the first account field. R dollar.) View transaction list Journal entry worksheet Record the interest in year 1. Note: Enter debits before credits Event General Journal Debit Credit

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