Hemingway Company purchases equipment by issuing a 7-year, $280,000 non-interest-bearing note, when the market rate for this type of note is 8%. Hemingway will pay off the note with equal payments to be made at the end of each year. Required: Prepare the journal entry to record Hemingway's acquisition of the equipment. GENERAL JOURNAL ACCOUNT TITLE DATE I Equipment 2 Discount on Notes Payable 3 Notes Payable POST. REF. DEBIT 163,377.00 PAGE 10 Score: 31/37 CREDIT 48,724.13 280,000.00