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Just need help with finding the interest expense for year 4. Showing how you got the answer would be very helpful. A partial amortization schedule
Just need help with finding the interest expense for year 4. Showing how you got the answer would be very helpful.
A partial amortization schedule for a 10-year note payable issued on January 1, Year 1, is shown next: Accounting Period Year 1 Year 2 Year 3 Principal Balance January 1 $330,000 307,220 282,618 Cash Payment $49, 180 49,180 49, 180 Applied to Interest $26,400 24,578 22,609 Applied to Principal $22,780 24,602 26,571 Required a. Using a financial statements model like the one shown next, 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 $88,000 cash revenue and paid $58,000 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 A Required B1 Required B2 Required B3 Required C What is the amount of interest expense on this loan for Year 4? (Round your answer to the nearest dollar amount.) Interest expenseStep by Step Solution
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